If I get served papers for owing money, do I have to respond to them?

Question

I got sent a letter from a collection agency saying that I owe so much money for student loans.
What will happen if somebody shows up at the door with papers to serve me?

Will I have to respond or will they not be able to do anything other than find a default in court and try to attach my bank account or take something?( not much in there, and dont have anything)

BY THE WAY THE MONEY OWED IS FOR STUDENT LOANS, AND I LIVE IN US.

AND I DONT WANT TO BE BOTHERED WITH BANKRUPTCY!!

DONT WANT TO MESS WITH ANY OF THAT STUFF!!

Answer 1

A student loan never prescribes, therefore, you will ALWAYS OWE IT... And it will keep GAINING INTERESTS each and every moment... My recommendation: Don't ignore it and ask for a payment plan really really soon...

Answer 2

You don't say whether the student loan is a UK loan or a US one. The law is quite different in each country. In the event of the loan being from UK student loans then the likelihood of it's being enforced in any way in the US is very small. If on the other hand you were resident in the UK and the loan was sourced in the UK then a debt collector could write to you, call on you if they consider it an appropriate course of action, and eventually a claim in the courts could be the result. If served with the claim details by the court you do not have to respond, but the plaintiff can then obtain judgment by default, and ask the court to instruct bailiffs, or alternatively an attachment of earnings order can be made which means the money is taken direct from any pay you get.

Answer 3

It will take a lot of time, but they will freeze your bank account and contact your employer and take money straight out of your bank account. You may never be able to get a loan in the future for things like buying a car or a house, you will not be able to get credit cards or only ones with a really high interest rate, and you may even have a hard time renting an apartment in the future.

The best thing for you to do is contact the creditors and set up a payment plan. You will be able to eventually work back your good name.

Answer 4

first of all student loans and child support cannot be forgiven by bankruptcy.in other words this will not just go away, it will follow you forever. if you took out the loans you should make arrangements to pay them back. most people don't realize that someone someplace is out of that money. even if you pay the bare minimum you should still pay something.if you go to court there may be court costs figured in to. also later in it could effect you if you want to buy a house, car, even rent an apartment, and it could prevent you from getting a good job. otherwise it will come back to haunt you at the worst possible time.think about it

Answer 5

for sure you do not have any judgment of right and incorrect. a guy with strategies might borrow yet is envisioned to return the monies in an honourable style, besides the fact that they've been used for. Why ought to you be an exception? I loaned area of my low fee expenses to a guy who si gned a written contract for some months with all info signed and witnessed. He has publish a bypass of excuses for 3 years. he's not the rest yet a robber. He has no longer been in economic problems; he merely doesnt desire´to declare so long to his money. I even have chased him with the aid of courtroom - the place the choose might desire to work out precisely what were occurring and ordered him to pay. He disregarded this, and that i've got now moved on. i'm approximately to do away together with his apartment. Me sense to blame? never. He felt no twinge of judgment of right and incorrect over the robbery of my puzzling-earned low fee expenses, why ought to I be the respectable, good being that he refuses to be? in case you didnñt intend to pay lower back or to wriggle off the hook you ought to never have regular the legal duty in the 1st place. somebody will pay. there is not any such factor as a victimless crime. i'm hoping you get what you deserve, pariah. you're legally absolute to respond to the courtroom´s papers. If the creditor is set he´ll carry on with you to the ends of the earth - and while the legal device at last pins you down you´ll be pay ing some distance, way greater suitable than you owe on the 2nd as expenses mount. try honesty!

Answer 6

If you have a job, they will "garnishee" your paycheck, or take a chunk of each check before you even see it. Wouldn't you rather control that amount yourself, rather than letting the court decide what it thinks you can afford? Your best bet (other than winning the lottery and running away to Brazil!) is to proactively approach the collection agency, and tell them you would like to negotiate. If you owe them, say, $10,000, you might suggest that you can only afford to pay them back $5,000 and work out some terms for repayment; they'd rather get half than have you declare bankruptcy and they get nothing!

Good luck...

Answer 7

My advice is to make arrangements to repay the money as it will haunt you all through your life on your credit.Once you have a judgment against you in court, also a warrant for your arrest can be issued as you will be picked up and arrested.
This can be done without anyone serving papers at your door.I worked for a collection company several years and know the outcome.Good luck.

Answer 8

If you owe out money you have to pay it back, Its far better to respond and then you can work out some kind of deal.
as long as you dont pay you are black listed and anyone can see that list.

If you are a student that's in a lot of debt, LAST RESORT have a look at going bankrupt, you wont be allowed a mortgage or credit cards for 7 years, after the 7 year wait, your slate will be clean and wiped.

Answer 9

If/when you get served with papers you need to deal with the paper work or you will end up in jail! It would be to your best interest to contact them and try to make some type of a payment arrangement to them before you get to being served and must go to court as that will be added to your bill as well.

Answer 10

if you contact the collection agency you might be able to set up an arrangement where you pay a set amount each week/ month. if youre honest with them it might not eve go to court. so youre etter of responding to the letter. if you dont want then another course of action is to take legal advice