Another Collection Agency Question?

Question

If they decide to take me to court what happens?

Answer 1

This will vary from state to state, but generally, if you contest the bill or anything about it, you need to show up in court.

If you don't, you should contact the court and make payment arrangements before your court date.

If the suit has not been filed yet, call the agency and make an offer of what you can afford to pay. If they decline, and say it isn't enough, follow up in writing and include the first payment...then keep them up as promised even if they continue with the suit.

This way, when you present your side of the case to the judge, you stand a better chance of not having to pay related court costs. The court system is overburdened as it is, and if you can show that your payment offer was a fair amount based upon your income/expenses and they declined, it's highly possible the judge may not award court costs to the agency.

Come to court with documentation...your letter, payment receipts, returned payments, your pay stubs and a list of your other expenses.

The biggest problem most people with financial difficulties have is not just a matter of not having enough money... it's what I call "ostrich" syndrome. You can't pay the bill in full, you're tired of being harrassed, so you stick your head in the sand. Problem is, that leaves your butt shining up for everyone to kick.

Unfortunately I speak from experience. Money problems don't go away until you deal with them. Stand up, get out of denial, and start back up the long road to financial freedom. Good luck.

Answer 2

if you do go to court, and the judge files in their favor, cou could loose up to 25% of your checks until the debt is payed off. however, child support payments or earlier garnishments take precedence. This means that no one can take more than 25% of your check at one time. Wouldnt it be more fullfilling to take responsability and arrive to court with payment arrangements ? The judge might look at this and feel sympathy for you, they generally dislike creditors and almost always favor the debtor. The judge might even reduce the amount of the debt because they hate interest compilations and might not grant them court costs. Also, I used to know a process server and it was very difficult for the case to actually make it to court if the server could not prove that he served the debtor. If he cannot get a signature from you or your family or locate you at work, the judge might not even want to hear the case.


But remember you should always try to be honest and do the right thing. Sometimes we grow more as a person by letting go than by holding on.

Answer 3

If they take you to court, they will get a judgment, attach your bank accounts, garnish your wages, and lein your property. You will also get to pay all the additional legal fees.

Call the collection agency and work out a payment plan. You ran the bill up, now pay for it. The longer you wait the more interest and fees are mounting and the more damage to your credit history.

Answer 4

Not all states allow for wage garnishment. Also, the collection agency can't file suit, they would have to hire an attorney. If you are concerned about getting sued over a consumer debt, get a consultation with an attorney who defends consumer debt issues. You should be able to get a referral from your local county bar association.

Answer 5

You just got some really good answers to your other question. Work out a payment plan with them and send them some money each pay period. If you don't ignore them and try to settle this debt, they won't bother dragging you into court. The only reason things have gone this far is that you have been ignoring your debts, right?

Answer 6

Kacy what you need to understand is anyone can take out a personal judgement lien against you and it will follow you until you take care of it.

If they take you to court you will receive a summons to appear. If you don't receive it, the judge declares you've skipped. I wouldn't do this if I were you. It's bad enough to have some debts, but don't put yourself in a position to be arrested and put in jail. Own up to your financial responsibilities.