I stopped paying on a $1000 personal loan when I was in college. Nothing happened for a while, but about a month ago they sent me a court paper in the mail (which was optional to go to). Well I didn't go to court, but now I'm really worried what they can do to me If I don't pay it...ahh!!
2007-12-10 12:42:44 · 7 answers · asked by Bianca 1 in Business & Finance ➔ Personal Finance
This stinks to high heaven.
No court sends you a summons that is "optional to attend".
A summons is delivered by an official or agent, or by certified mail, to prove that you received it.
If they have proof that you received it, you both go to court and and argue your case.
If one party does not show up, the other party wins. But only if they have proof that the other party received it.
So it boils down to, did you sign for this or was it served, or not?
If the court has proof that you received it, and you did not show up in court, you are probably screwed. You lost the case and have no idea what the judgement was. The court might attach your wages or bank accounts.
If the court does not have proof that you received it, they would reschedule and try to serve you again.
2007-12-10 13:05:53 · answer #1 · answered by Feeling Mutual 7 · 0⤊ 0⤋
you are in deep sh*t buddy...that's for sure. If you don't pay i can guarantee you that you will never get another loan for a long long time. Thats means car, house...freakin Radio Shack wouldnt even give you credit. I would contact the lender and try to arrange a revised debt schedule. they will do this for you...its in their best interests. Since i don't know the specifics of how the loan was arranged, I can't be sure what their options are. But technically, if the loan was arranged properly, they can come after whatever assets they can prove you own which may be retrievable. i would pay it asap
2007-12-10 13:20:29 · answer #2 · answered by Chris 2 · 0⤊ 0⤋
go back to court if you can. they can get a judgement against you for this and go after you for up to 10 years. interest accrues every day that the loan is still due once the judgement has been obtained against you. contact the creditor and see if you can make some kind of payment arrangement. they can also garnish your wages or attach the funds in your bank account to satisfy the judgement. dont let this go...
2007-12-10 13:47:47 · answer #3 · answered by falkenberg2006 2 · 0⤊ 0⤋
additionally with the judgement they probably got you will not be able to buy a home without settling, definite impact on your credit, that will raise your rates when you go to buy a car and you might not be able to get a credit card. if you currently have credit cards they can raise your rates of interest because of the judgement, you erred in not handling the personal loan and now will have to pay the piper sooner or later.
2007-12-10 13:25:47 · answer #4 · answered by Anonymous · 0⤊ 0⤋
Well things they cant do is, harass you, threaten you as such as going to jail or prison, they have no authority to act like that. You going to the court would make no difference, as it looks like didn't go because you were irresponsible, the only things that come from this, is endless calls, and lowering your credit rating each month
2007-12-10 12:50:26 · answer #5 · answered by Anonymous · 0⤊ 0⤋
they will get a judgement against you. from the court. they can try to collect it from you (send you bills, call you, possibly garnish your wages?) and they will report it to credit companies (this is how you get a bad credit rating). and then they can sell the bad debt to other companies who may try to collect it. if you can, i think you should pay the money.
2007-12-10 12:51:31 · answer #6 · answered by Sufi 7 · 0⤊ 0⤋
well we do not have debtors jails any more but we should === they will get a court order and tie up and finances you have and go after any future wages!!!
2007-12-14 04:12:20 · answer #7 · answered by Anonymous · 0⤊ 0⤋