I have a charge-off account (credit card) that turned into a court judgement against me 12 months ago. I noticed this judgement on my credit report only couple months ago but was never ever notified of any court dates because I had been at a new address for more than 6 years now. Is there anything I can do to challenge this judgement or is it too late? I originally defaulted on this loan due to getting laid off from work, but now make 6 figures. Will they try to garnish my wages? It has been a year & they have not taken a penny from me yet. Because the judgement took place just within the statute of limitations (CA 4 yr), do I have to pay it even though it is well past 4 years now?
Also, I am currently in the process of buying a home, but the loan will be in my fiance's name because she has a better credit score, even though I will be making the payments. Is it a good idea for me to include myself on the title or will the creditor try to put a lien on the home?
Thanks in advance
2007-02-03 22:49:13 · 6 answers · asked by Anonymous in Business & Finance ➔ Credit
We have another batch of very poor and uninformed answers here. Let me see if I can help by clearing up the bad answers...
The previous answer about an "ex parte attachment" order isn't correct. For starters, it's issued after a judgment. And one of the requirements for it being issued is that the plaintiff must prove "great and irreparable" damage if it's not granted. Very unlikely in a simple debt collection hearing.
In order to fight this, you must understand how the whole process works. So let me explain...
In order to get this into court, the collection agent must notify you of the court hearing. This is done by serving you with a "process" or summons. This paperwork will give the time/date of the hearing. That means he has to find you. If you have moved out of the area and they can't locate you, that makes it a lot more difficult.
By law, you MUST be allowed your day in court to give your side of the story. In my state, the judge won't even listen to the case unless the plaintiff demonstrates that you were served, or that a "diligent" search was done to find you.
To serve these papers, they will hire a "process server". This person must serve you, or file paperwork showing why he was unable to do so.
In many states, they can serve these papers by "alternative service". This can be done by mailing the paperwork by certified mail, or delivering to your KNOWN place of residence. It can be delivered to any adult at that residence, or by simply taping it to the front door of your home.
OK, not the part where I said "known" address. This is how you have to fight your judgment.
So what happens when the collection agent can't find you. Last year, several large collection agencies got hit with huge fines, and some people went to jail, for "improper services". What they were doing is paying a process server to either lie on the paperwork, or to deliver it to an address they suspected you lived at. No real search was done. In most cases, this address was your last known address. I will bet this is what they did to you.
What you need to do is contact the court and get a copy of your case. In it, there will be paperwork that was filed by the process server saying how you were served. If they delivered it to your last known address, and no effort was made to determine if this was your real address, you can get your case dismissed based on "improper service" grounds.
Whether you can get it is another battle. Each state/county has different court rules. Some make it difficult to get such a case dismissed. You not only have to prove "improper service", but also you must demonstrate that if the case is reheard you stand a decent chance of winning.
Again, in the state where I live, our judges are very strict about the process service rules. I know this for a fact, because I do some part-time process serving.
If this fails, then you will have to arrange to deal with this judgment. Paying it off will not remove it from you credit reports, as it's considered a public record. It will show paid, but the record will still be there.
Hope this answer helps you out. Wish the other people would quit preaching.
2007-02-04 03:02:26 · answer #1 · answered by Anonymous · 4⤊ 0⤋
What probably happened is called an "ex parte attachment" which means that your creditor had enough proof to get this judgement without going through a regular process. Obivously you are not arguing that you own this money and yes, you should have made some arrangements to pay off this debt even though it is 4 years old.
The only way you can wipe out old debts completely is to file bankrupcty and if you are making 6 figures and buying a house, I don't think a court would buy it at this point.
You need to call the creditor NOW and work out a payment plan so that they do not take any further action. And yes, judgements can turn into liens.
2007-02-03 23:31:34 · answer #2 · answered by 14b32bbdog 2 · 0⤊ 0⤋
You must be served competently in order to have a judgment entered against you.
The problem is you really owe the money. No judge would ever clear the debt just because you weren't served. Normally, if there's already a judgment against you, you'll likely be garnished if you fail to pay within 14 days of the date of the judgment. The way they track you down is through the state employment services. As soon as an employer writes your name on a quarterly report, you're in the system and your employer will be notified of the garnishment.
In another twist of fate, there's a statute of limitations for collection of debts. If you go 3 months or more at your job and never hear anything, you might have passed this point and courts are refusing to garnish.
In yet another twist, since you're making 6 figures, you might want to do the right thing and pay off all your old obligations. I know this isn't the American thing to do, but it is the right thing to do.
2007-02-03 23:00:25 · answer #3 · answered by Anonymous · 0⤊ 0⤋
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If you receive a notice that a default judgment has been issued against you and you were not aware of the court date, immediately go to the court and request copies of all the paperwork. Look for mistakes and misinformation, especially on when and how you were notified. If you beleive you were not given "due process" then you can file a motion for rehearing or motion to dismiss with the court. If you can prove that you were not given due process, the judge must consider your circumstances. It's possible to have the case dismissed. Unless you are very comfortable with filing pro se (by yourself) I highly encourage you to discuss your case with an attorney well versed in credit and debt consumer law. LEGAL DISCLAIMER: The advice contained herein is for informational purposes only. It is not to be construed as Legal Counsel nor Legal Advice.
2016-04-05 08:15:53 · answer #4 · answered by ? 4 · 0⤊ 0⤋
Contact the court and ask if you can apply to have judgement set aside on the grounds that you weren't informed about the case. You may still be in time to do that. It seems that the credit card company got the judgement in in time so that they had the option to enforce, though if they were going to they probably would have by now. Most likely if they want to they'll give it to a debt collector. the biggest pain for you is the affect it will have on your credit rating.
As far as putting you name on the house is concerned I think you would be wise to do it despite that risk. In the event that, God forbid, the relationship breaks down, or worse still something happens to your fiance before you get married, it makes your position more secure. It's a horrible thing to have to contemplate but sometimes life doesn't turn out like we thought.
2007-02-03 23:14:01 · answer #5 · answered by gerrifriend 6 · 1⤊ 0⤋
Yes, they can file a judgement against you. If you never informed the credit card company of your new address, they probably tried to serve you at your old address. They can then show that they made a legitimate effort to inform you of the legal proceedings, but were unable to contact you. You can pay it in full and then it will show as paid on your credit report, but a judgement is a public record, and cannot be removed from your credit report.
2007-02-04 02:58:20 · answer #6 · answered by Stephanie73 6 · 0⤊ 0⤋
Anyone should be able to ask a question and receive and answer without some asshat adding a negative remark. You nasty hateful people with your negative comments need to go find something constructive and helpful to do for society with your time. Perhaps I can suggest some self help books for spelling, punctuation and use of capitol letters. The world is crappy enough without self righteous people thinking their job is to sit and criticize others. We have 1 true judge in this life, and your feet aren't big enough to fill those shoes!
2015-04-14 07:15:11 · answer #7 · answered by ? 1 · 1⤊ 0⤋
Cheapskate go consult with an attorney
2007-02-03 22:56:59 · answer #8 · answered by Anonymous · 1⤊ 6⤋
how can someone be smart enought to make 6 figures and still ask so many dumb questions. pay you bills!!!
2007-02-03 22:55:33 · answer #9 · answered by Anonymous · 1⤊ 7⤋