Answer: respond to the lawsuit. That is the first thing you must do if you are being sued by a debt collector.
You do not have to respond to the lawsuit yourself. You can hire a Debt Collection Law Firm — like Guardian Litigation Group — to handle the case. If you hire attorneys, then you do not have to go to court; your lawyers will handle the court hearings and will talk to the judge and the lawyers handling the lawsuit for the debt collector. Most cases settle, which means that most cases do not go to trial. Going to trial is often the only time a debtor has to appear at the courthouse.
Debtors should not fear responding to a debt collector’s lawsuit. And, to be clear, you are responding by saying “NO! I do not owe” or “No! You have no proof!” or objecting with some other legal defense. In this way, responding to a debt collection lawsuit is the best method of “winning” and vindicating your rights as a debtor. Many debtors assume they will lose a debt collection lawsuit. That is not true. When debtors respond, cases often settle for far less than the alleged debt, and, in many cases, the debt collector gets NOTHING. This can happen for many reasons, including the creditor not being able to prove you own the debt, improper documentation, deceptive and unfair debt collection practices, expiration of the debt under statutes of limitation laws, etc. In addition, sometimes, just a little bit of “fight” will make the debt collector “go away” and dismiss the lawsuit. The debt collection business model is built on volume and quick results. Any case that is going to take time and might result in expensive, drawn-out litigation does not fit that business model. As such, it is often easier for the debt collector to just dismiss the case.
Responding to a debt collection lawsuit is also the best way to permanently handle a debt. No one wants a debt hanging around on their credit report for years. The same is true for a lawsuit. A lawsuit is not something that will “go away” if you ignore it. Lawsuits will show up on your credit reports for years and create problems later. For example, if you want to buy a house and get a mortgage, in many places and for many lenders, unpaid judgments from debt collection lawsuits have to be paid before the mortgage can be finalized. So, responding to a debt collection lawsuit NOW ensures the debt is taken care of, and the lawsuit is handled, eliminating future problems. And remember, as noted above, many debtors win their debt collection lawsuits in some manner.
Responding to a debt collection lawsuit also avoids many potentially worse results. Failing to respond could lead to the entry of a “default judgment” by the court. This is a judgment awarding the debt collector all the money that the debt collector is asking for, along with the debt collector’s attorneys’ fees. With a default judgment, the debt collector now has the power to try and
- Freeze and take money from any bank account
- Garnish your wages
- Take any property you might own
- And more
Contact Experienced Debt Collection Defense Attorneys
For more information, contact the debtor’s rights and debt collection defense attorneys at Guardian Litigation Group, LLP. We are here to help if you are being sued for a debt you owe. Our compassionate lawyers will listen to your concerns and advise you throughout the debt collection lawsuit process. Debt collection lawsuits can have lasting repercussions, so please do not hesitate to contact our legal team so we can help you fight back. Our job is to vigorously defend your rights.
