Sued For Credit Card Debt? Don’t Make A Payment

Dealing with credit card lawsuit that is out of statute? If you are one of the thousands of Americans who are facing a lawsuit for unpaid debts, it is important to know the rules your state and local laws you can use against abusive junk debt buyers and/or collection agencies.

Depending on your state, card debts can only be collected at a given period. This is called stature of limitations. A debt collector can no longer collect the debt if the debt is out of statute nor can he press charges for the unpaid debt.

Unfortunately, hundreds of debt collectors are getting richer manipulating the system for years. They will try to issue a complaint or even file a credit card lawsuit against old debts which are sold and resold to various collectors for penny on the dollar. You can only imagine how much these people make once they were able to collect from unsuspecting debtors. Also, since the debts have long been written off, the burden of tax is significantly reduced.

Once you are served the summons, you can either panic and do nothing or you can defend yourself Pro Se. If you chose to fight the credit card lawsuit, start by filing an answer to the summons and complaints. Debtors are given 20 days to file an answer otherwise, the court will rule a default judgment against you, giving the creditor rights to garnish your wages or worse, put liens on your properties in order to satisfy the debt.

No debtor should ignore a summons because this is exactly what creditors are counting on. Once they win the credit card lawsuit via default judgment, they can easily freeze your account, garnish wages, and make the debtor pay for their own legal expenses too. In short, ignoring the summons will cost you more in the end, which is why it is critical to read and review local and state laws to determine what steps you should take when a creditor files a credit card lawsuit against you.

In addition, if your creditor sues you, do not, under any circumstances, start paying for the debt! Repayment will re-start the Statute of Limitations clock, sabotaging your defense if the credit card lawsuit made it to court. So before you make any decision, make sure you have taken into consideration all factors concerning the debt otherwise, you might unwittingly admit that the debt in question is indeed yours, through recent payments.