Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-07-21

Continued from First Page
Here are some of the credit
store tactics he win swear to:
|. Confession Of Judgment
This is q paper signed by a
debtor admitting that the debt
is due and payable. If q Gus
TONER can be induced to sign it
when he makes his purchase.
the store has an easier time
collecting from him later if
he misses a payment.
When a quick check of q
new customers record indi-
Gates he is a poor credit risk,
the store-instead of refusing
him credit-agrees to sell to
him if he will sign a "confes-
sion Of judgement" The Gus
toner signs it. usually without
knowing what it is.
Later. II the customer misses
a payment, the store simply
files a suit, fills in the court
case number on the form and
presents the debtors "confes-
sion" that the debt is a just
one. The court then grants a
judgement against the debtor.
According to the witness, the
stores attorney signs these con.
fession forms in blank, a hun
dred or so at a time, so that
they will be ready when needed.
Consent of Condemnation
This is another device, designed
to get an old customer deeper
in debt and guard the store
against a plea for exemption.
(The law exemptS from garn-
ishment 5000 of debtors SAL
airy per month If he is the
head of a house, or $50 If he
is single. But the exemption
is not automatic; it has to be
claimed.)
When a customer falls be-
hind in his payments to the
store and finds that his salary
has been attached, he may visit
the store to try to get some Of
his money released. The store,
instead of agreeing to give him
a chance to get out of debt,
persuades him to buy more
merchandise. But to buy more,
he must sign a consent of
condemnation" which author
ICES the debtors employer to
release his money to the cred
itor. Now the customer is deeper
in debt than before, and he has
signed away his right to any
exemption from punishment.
Double Judgment-Once the
court. grants a creditor a judg-
ment against debtor, the
creditor must file q garnish-
ment notice each time he wants
to attach the debtors wages.
But often, after one attach
ment, the debtor will make
further payments direct to the
store to avoid being garnisheed
again.
In such a case, the witness
will testify. the store does not
notify the court when the
debt has been paid in full. In
stead. the store leaves the judg-
ment in force. Later, if the
debtor buys more goods and
falls behind in his payments
again, the store files a new
punishment notice based on
the old judgment. This relieves
the store Of going to the, trouble
Of asking the court for q new
judgment.
PigeOnhOled Papers When
a creditor asks the court for q |
judgment against q debtor, |
three copies Of his motion are
prepared-one for the court, |
one for the creditor and one
for the debtor. According toll
the witness. the store often
fails to mail the debtor his
copy of the motion. Thus the |
debtor does not appear in
court. and a judgment against
him is granted by default"
Once a judgment is granted.
a punishment notice is served
on the debtors employer, who
must reply to it stating how
much he owes the debtor. If
the employer fails to reply, his
own assets may be garnisheed.
In one case, the witness will |
testify, the credit stores at
torney took an employers an
swer from the court clerks Of
flee and pocketed it; the an
swer never got into the court
files. Later, the employer
wrote the attorney, confirming
that he had filed his answer
with the court. According to