The answer is, yes. If the creditor obtains a judgment, the creditor can record a memorandum of judgment in the recorder's office in the county in which you won real estate, and it will become a lien (a judgment lien) on your property. The lien will be behind (junior to) any other liens that were recorded first, like a mortgage. The creditor would have to file a lawsuit against you, serve you (not just mail, but personal service on you or someone in your household) and get the judgment in court. You would have the opportunity to defend the suit if you believe you have a defense. For $2000, a creditor may or may not pursue collection because it costs money to do that. A judgment lien will remain in effect for 7 years, but it can be renewed for another 7 years.
Answered on Jul 20th, 2013 at 6:12 PM