What happens when a credit card company takes you to court for an unpaid debt?

What happens when a credit card company takes you to court for an unpaid debt? What can you expect from the hearing? and does the defendant have an opportunity to negotiate a debt settlement?

What happens when a credit card company takes you to court for an unpaid debt?
More than likely as is in most cases...they bring you to court to file a judgement. If they win the court case they will then be permitted to put a jugement against you. If you have a judgement - they can put a lein on any property you own and possibly collect the owed funds via assets (bank accounts), and even attach your wages. Each state has their own rules. If you need help...





Ron Marchiani, Integritycrs.com, 888-328-9328
Reply:They will want to know why the debt hasn't been paid. Expect to lose though. The court does have the power for you to make a deal for monthly payments. But that should have been done prior to it ending up in court. They can garnish your wages or force you to sell property.


They'll probably also stick you with court costs.


The only thing you can do it file for bankruptcy. But then your credit would be toast for at least 7 years.
Reply:First hand.. this just happened to me in the past 3 months.





3 yr old write off-


Original CC was for $300, Credit card company wrote off $687 after fees and interest, collection agency wanted $648+ court fees and attorney fees amount was then $1400.


I received a court filing but the court scheduled a mediation first.


Went to mediation and stated the debt was not mine. Asked them to show my application and every charge receipt.


The mediator stated they had 60 days to follow up with the proof.


56 days later they called me staing they proved the debt and wanted money before we went back to mediation, they only showed 3 past old CC statements but could not show the application or my sig on any of the charges.


60 days later i went back to mediation they did not show up because they could not get the proof from the original bank %26lt;they were just a collection agency%26gt;.


I won by default.





There are many laws that protect a defendants but you must know what the channels are. Might help to get a cheap lawyer at least to help you thru the motions you have available to you.





But if you DO lose then yes at worst they could garnish your wages ONLY if your single.


If you have children dependants they cannot garnish.





good luck



Reply:It's too late to negotiate. You will have to pay the amount and court costs and your wages/property can be attached for the amount.
Reply:A bit late to negotiate. Expect a judgment in their favor followed by wage garnishment.

ginkgo