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Loren
Loren, Attorney
Category: Legal
Satisfied Customers: 34004
Experience:  30 years experience representing clients.
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I ahve a loan onmy business with citi bank which has been

Customer Question

i ahve a loan onmy business with citi bank which has been turned over to collection agaent
JA: What state are you in? It matters because laws vary by location.
Customer: i have tried to make a settlement.
JA: Has anything been filed or reported?
Customer: i am in California. they want to go after my personal assets.
JA: Anything else you want the lawyer to know before I connect you?
Customer: i am a sole propritership. it was a business loan on my business.
Submitted: 4 months ago.
Category: Legal
Expert:  Loren replied 4 months ago.

I am Loren, a licensed attorney for over 30 yrs. Thank you for your patience as I review the question. I will post my response shortly.

Expert:  Loren replied 4 months ago.

Unfortunately, unless the borrower was an LLC or corporation, an entity separate from you personally, you have no protection form personal liability. A sole proprietorship is the same as if you personally borrowed the money.

I am sorry. I wish I could tell you otherwise.

Expert:  Loren replied 4 months ago.

You may want to look into bankruptcy protection.

Expert:  Loren replied 4 months ago.

I realize this is probably not the answer you were hoping to receive. Also, please remember that this is not a moral judgement on my part. As a professional, however, I am sometimes placed in the position of having to deliver news which is not favorable to a customer's legal position, but accurately reflects their position under the law. I hate it, but it happens and I only ask that you not penalize me with a bad or poor rating for having to deliver less than favorable news.

Customer: replied 4 months ago.
what if my funds are in a trust.
can they attach them .even if this was a business loan.
Expert:  Loren replied 4 months ago.

If you have a trust with a spendthrift provision then those assets could be protected. If it is just a simple revocable trust then it is unlikely it will provide any protection.

Expert:  Loren replied 4 months ago.

I attempted to accept your phone call request and received the following message:

"Payment for this service failed, please do not fulfill yet. We will attempt to reach this customer to fix the situation."

If you can resolve the problem (it is usually just a matter of confirming with your bank or credit card that the charge is authorized) I look forward to speaking with you.

Otherwise, I am happy to continue online with you.

Expert:  Loren replied 4 months ago.

Are you still online with me?

Expert:  Loren replied 4 months ago.

If you have no further questions please remember to rate my service (5 Stars) so that I am credited by JA for answering your question and also so that I may close the question.

There is no additional charge to you for a 5 star rating of my service.

Thank you!