QUESTION
What do I do if I have been summoned for a default judgement?
Asked on Jul 15th, 2011 on Bankruptcy - Georgia
More details to this question:
I have a default judgment against me (I am the only defendant) for a Capital One credit card. My husband is our only source of income, as I don't work. We have a joint bank account, own a house together, and my SUV is in both of our names. My questions are as follows: How should I respond to the default judgment? It is just requesting documents on our personal property, monies, etc. and I have 45 days to respond. Do you think they will put a lien on anything? If so, what? And can bankruptcy take care of that at a later time? (Bankruptcy is not possible right now.) I owe the debt; I didn't respond to the summons because I wasn't properly served. I already sought legal advice on that issue, but the probono attorney I spoke with said it's too much hassle to prove it.
6 ANSWERS
Bankruptcy Attorney serving Herndon, VA
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Maureen O'Malley
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Sorry the pro bono attorney didn't want to take the time. The summons is to show that you got notice. You might bring up the improper service then, if the judge will hear it. They'll ask you to fill out a Homestead Deed to save items from being sold. In VA you're allowed $6,000 equity in a car, $5,000 equity in your home (or any other property if there's no equity there), $5,000 in your furniture, and your wedding and engagement rings. IRAs, 401(k)s, etc. are also safe. Keep whatever you fill out. Most likely they'll freeze your checking account, even though it's joint, so you might want to keep money out of there. Yes, you can file bankruptcy later, but sooner is better to keep them from getting money or property.
Answered on Jul 19th, 2011 at 1:13 PM
Christopher H. Ariano
A default judgement means that someone has filed suit against you and, in absence of a response on your part, the court has ruled in favor of the creditor. Obtaining a judgement is the first step a creditor must take to recovering the debt. Depending on your income source and other assets, your paychecks may be at risk of garnishment or your bank account at risk of a levy. Filing bankruptcy can eliminate most debts and stop any ongoing garnishments or levies.
Answered on Jul 19th, 2011 at 11:05 AM
Glen Edward Ashman
If they have a judgment, you already lost and they have a lien on everything. They can immediately seize your assets, your paycheck and your bank account. You have a legal emergency that requires a lawyer today. Delaying a bankruptcy, if you qualify, could result in loss of property and assets. And if you do have a defense as to service and are now aware of the case, a delay in filing defenses, appeals and objections may waive those rights. So again, you need a lawyer now.
Answered on Jul 19th, 2011 at 10:10 AM
Bankruptcy Attorney serving Concord, CA
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William Rubendall Attorney at Law
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A default judgment is when you didn't answer the complaint. Once there is a judgment by default the creditor can use all collection mechanisms available under state law. Some of the actions are wage garnishment, levy on bank accounts, filing a lien on your property and having the right to call you in to court pursuant to an order of examination asking about all your assets. A judgment like this can be discharged in bankruptcy. Whether you should file bankruptcy requires a consultation with an attorney.
Answered on Jul 19th, 2011 at 10:04 AM
Probate and Estate Planning Attorney serving Stratford, CT
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Rosenberg & Hite, LLC
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If its a credit card, you can discharge the debt in bankruptcy. After the creditor receives judgment, they make attempt to satisfy the judgment by a property execution against a bank account or house.
Answered on Jul 19th, 2011 at 9:51 AM
Debtor's Rights Attorney serving Atlanta, GA
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Theodore N. Stapleton, P.C.
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I'm not sure I understand the pro bono attorney's statement that its too much of a hassle to challenge service. I am happy to talk to you about your opotions. please call to schedule a free consultation.
Answered on Jul 18th, 2011 at 2:13 PM