Can I go to Jail in New York City if I Don’t repay my Payday Loan, Credit Card bill or other Debt?

Being in debt can certainly feel like a prison.  Unlike some countries around the world however, in the United States a debtor cannot be put in jail for defaulting on a Payday Loans, Credit Cards or other Debts.  Debtors’ prisons have been abolished in New York since the 1830’s, but that doesn’t mean that people with crushing debts are living free.  When the bankers are on your back, creditors are harassing you at every turn, and you have no hope of changing things you are basically in a financial jail cell.  It can be so stressful for some people that they would almost rather be in a real jail if they had the choice.

The United States is sympathetic to people in debt.  In fact, the founding of the country and the revolution itself in a way was an act of debt relief.  We realized early on that putting people in jail for not repaying debts accomplished nothing.   The debtor would rot in jail with no chance of rebuilding their finances, becoming successful, and benefitting society, and the creditor would never get paid back if the debtor was rotting in jail.  Understanding how important a second chance to a citizen would be for the prosperity of the nation, the United States developed powerful bankruptcy laws that would allow citizens to eliminate their debts and seek a fresh start when overwhelmed by toxic debt.

Shady collections agents have been rumored to threaten debtors with arrest in an effort to do anything they can to try and collect.  This is illegal, and despite what they may say you cannot be put in jail for defaulting on any debt in New York City.

If you have creditors harassing you over a past due loan payment or credit card bill or even threatening you with a bogus arrest, realize that you have the power of bankruptcy at your fingertips.  If you are truly financially distressed and unable to pay your bills bankruptcy will eliminate your toxic debts, and will get the creditors off your back forever.  Your assets can and will be protected and your financial future will be put back in focus.  If creditors continue to contact you after you file for bankruptcy, your lawyer will sue them for breaching the “automatic stay” provision of the bankruptcy code.

In America bankruptcy is your “get out of jail free card” for the modern “financial prison” many of our clients find themselves in.  If you live in New York and need to find affordable bankruptcy help please give the Law Offices of William Waldner a call at 212-244-2882 to arrange a free bankruptcy consultation.   We will help you find the financial freedom you deserve, and will aggressively put an end to any and all communication from your creditors.

This article is intended for educational purposes only.  By reading this article no attorney-client relationship has been created.