Is there anything a collection agency can do if I am trying to make a reasonable monthly payment and they won't accept it because they want more? It's half of what they are asking for. I can only afford so much and they are trying to take almost everything I earn so that I really wouldn't be left with very much. I am also behind on bills and that is another reason why I can't fully pay what they are asking. Can they still take me to court, garnish wages or repossess the car I am financing?

Thank you.

Unfortunately, a collection agency can pursue you for an entire debt even though you are making small payments to them. They can sue you and eventually seize your wages or non-exempt assets. It is a misconception that creditors can't come after you if small payments are being made to them. Creditors cannot seize a vehicle that is financed or leased, and they cannot take items that are exempt in Alberta, such as furniture. If you need relief from creditors you may need to consider either an O.P.D. Order, a proposal or bankruptcy.

Ann Clarke
phone: (403) 296-2972
aclarke@moneyhelp.ca