DEFAULT JUDGMENTS:6 THINGS DEBTORS

NEED TO DOby

Real Estate Attorneywww.ProvenResource.com

An outstanding money judgment can be frustrating and even immobilizing.

A default judgment is awarded when adefendant to a civil suit fails to answera legal complaint in a timely fashion. Insuch cases, the court is unable tomake a ruling based upon the law orthe facts of a case.

WHAT IS A DEFAULT JUDGMENT?

HERE ARE 6 THINGS A CONSUMER OR BUSINESS

OWNER SHOULD CONSIDER IN THE EVENT A

DEFAULT JUDGMENT IS FILED AGAINST THEM

Have the judgment set aside1.

It's best to file a request to set aside the judgment within a reasonable period of time from the date that

they discovered the judgment.

BECAUSE

Make contact before collection activities start.

2.

Once a judgment is taken, the judgment creditor can begin activities to collect on their judgment.

BECAUSE

BECAUSE

They can garnish or attach a debtor's wages, bank accounts or even seize a debtor's property.

Ignore it3.

It is only a matter of time before a significant money judgment can make things

financially difficult for a debtor.

Time. 4.

BECAUSE

The right to collect the money on a judgment has an

expiration date that depends upon the type of case that

was initially brought, or where the judgment was obtained.

BECAUSE

A judgment debtor may not hear from a judgment creditor for years, the

creditor still has rights to collect on their outstanding

judgment balance with interest.

Try to cut a deal with a judgment creditor when a debtor's finances are

still at their worst.

Consider payment options. 5.

BECAUSE

Making payment arrangements means that there is a written agreement on how monthly or partial payments will be applied to the judgment balance before the first

payment on a plan is made.

Bankrupt6.

BECAUSE

Depending upon the nature and size of one's debt and income, not all

judgments can be liquidated through

bankruptcy.

For instance, a defaulted student loan or certain IRS matters, cannot be discharged.

Disclaimer: You should not rely or act upon the contents of this article without seeking advice from your own attorney.

www.ProvenResource.com31800 N.W. Hwy.

Suite 350 Farmington Hills, MI 48334Phone: (888) 789-1715