credit card judgment?

Question

We missed the court date, and now are supposed to pay 650 a month and can't afford it for a 6000. balance old credit card probably 6 years old...we would have disputed it, as it was incorrect..but now are stuck paying...but if we can't afford to pay and stop...can they take our 2 cars that are finally paid for? our house?

one, it was at least 6 or 7 years old already, and 2 the amount was incorrect. My husband misread the court date and missed it. We got a judgment in the mail and were shocked

Isn't there a way to go back to court and have this removed or altered, disputed. I can't afford to keep up with that amount. What if we moved to another state. Do they have to take us back to court again, or can they just come in the night and steal our car since they won the judgment in Nebraska?

Answer 1

Yes. Now that they have a judgement they can "execute" on it. They could ask for a court order garnishing your paycheck; they could have the sheriff confiscate your cars and put them up for auction; or they could put a lien on your house and then have the lien foreclosed and put up for sale. In the case of cars and houses, whoever owns the first loan gets paid first, then the credit card company gets paid, then you get what's left. To make it worse, they will add legal fees and auction/foreclosure fees to the bill if they have to do this. You have two choices: either file for bankruptcy, or else refinance the loan on your house to get the extra money to pay off the judgment. You should never have missed the court date.

Answer 2

Definitely check your state's statute of limitations on open accounts (the credit cards). The statute starts at the last time any action was taken on the cards by you (a payment, a use of the card, a promise to pay on the card). So, if you didn't use the cards for 6 years, but you promised to pay on them a year ago, and but didn't, the statute has only run one year, not 6. The same would go for a use of the card, or a payment on them. If you find that the statue of limitations has run, I would contact a local attorney (good idea in any case), and try to file a motion for relief from default judgment. Essentially, you're asking the court to take back it's prior default judgment, and give you your day in court. The big problem with your case (and this), will be the reason you're asking the court. Simply misreading a court date usually isn't good enough. Under most court systems, if you don't formally answer a complaint in writing, within 21 days (if served personally), or 28 days (if served by mail), it is again an automatic win for the other side. It doesn't matter that you didn't know the rules. If you decided to do it yourself, you are held to the same standard as an attorney.

That being said, you may get a sympathetic judge. If the debt was actually beyond the statute of limitations, the judge may just decide that the other side was playing dirty pool, reverse his prior ruling and dismiss the case.

Now, if the judgment is upheld... yes, they can go after any property you own, with some exemptions given by your state's law (generally). Your cars are paid for. They can seize them, sell them at a court auction, take the first $6000 owed (of whatever amount is accrued with interest), and give any remainder back to you. They can garnish your wages (usually up to 25% of the net), seize the money in your bank accounts, garnish your tax returns. They will usually get an order restraining you from trasferring any of your property, or spending more than is needed for necessities (mortgage, food, etc.).


Whatever you do, you should call an attorney in your area that deals with debt/collection and bankruptcy (you may find some relief under Chapter 7 or 13).

Answer 3

No they can not take any equity that is greater in value than then the debit.

This is an unsecured debit so your home and cars are not at risk.

First you need to check to see your states Statue of Limitations for filing a judgment on debt and the details of the Statue of Limitations.

If you were to stop paying on the debt and they didn't already seek garnishment rights with the judgment. They would go back ask for Garnishment order. This goes against your SSN and they can garnish your wages, tax returns, lottery winnings, etc.

Answer 4

You need a good laywer. Unfortunately, the deck is stacked against you due to new regulations recently passed by congress.
However, what do you mean "we would have disputed it, as it was incorrect" -- seems like you blew it there. Also, "you missed the court date"? another screw up on your part. You are paying the price for your own negligence for the most part.

Yes they can take your stuff.

I don't thinl filing for bankruptcy will help due to changes in the law.

Answer 5

It relies upon on the state as to what can ensue. besides the undeniable fact that, odds are they probably gained't take your stuff... because the technique of dealing with the courts to take your stuff is alot extra expensive than its nicely worth. they'd ought to spend 1000's or a number of 1000's of funds to take your laptop or television, which they'd be fortunate to get 50-seventy 5 funds for at a resources public sale. No, whats going to ensue is that judgement will be entered adverse to you. Then, in the experience that they truly won't be able to garnish your wages, they are going to bypass after your tax refunds and the different income that they can get get admission to to and garnish that stuff. till you pay off the judgement it is going to proceed to exist your credit document...They stay for no less than 7 years, i imagine. Oh, and as insult to damage, it is going to proceed to strengthen in length because maximum judgements that i understand of enable the plaintiff to proceed to price pastime. verify the perfect web page of paper they filed with the court docket, it is going to say something about allowing them to assemble pastime till it really is payed off, plus legal experts costs and court docket prices. Your credit might want to no longer be a mattress of roses for a good lengthy at the same time as. the very undeniable actuality that you've that astounding debt that's extremely a lot marked as unpaid yet nevertheless due is going to stay with you. You both favor to pay it off... or evaluate financial ruin. at the same time as financial ruin will screw up your credit for a at the same time as, the very undeniable actuality that it erase your requirement to pay that judgement would help you in the destiny. i'd contact an lawyer and look over your innovations. good success.

Answer 6

They can only take assets worth 6000. Your house should be ok. The cars might be in question, though.

Answer 7

I don't think that's fair, have you tried debt cosolidation or credit card counselling. I believe they can help you with your dispute don't give up your house and cars that is not wise. hopefully you can settle yyour debts.

Answer 8

Mortgage them if you can and put the cash away.