It doesn't sound like it to me.
(For what it's worth, my mortgage was originated by and is serviced by Quicken Loans and was sold to Fannie Mae.)
I bring that up because, other than my credit (which stinks already), I feel that's about the only thing I have to lose here.
That's correct.Until you say otherwise, I'm going to assume that this is a credit card debt, or something similar, and an ordinary collection lawsuit (i.e., they're asking for money).
Default on the credit card or my mortgage?You need to file some sort of answer with the court to avoid default.
There is a $5,000 exemption in my state for financial accounts. Doesn't that mean they can't touch my bank accounts unless the balances exceed $5,000? If that is the case, couldn't I just keep my deposits under $5,000 and sock anything extra away either into paying off my mortgage or a retirement account until the judgment expires? (Judgments expire in 10 years here and cannot be renewed, as far as I know.)In most cases, with a judgment of that size, the creditor might try to collect through garnishment of financial accounts (e.g., checking and saving, but not retirement accounts)
My state doesn't allow wage garnishment.or through wage garnishment.
Given all this, is there even any point in answering the suit? Wouldn't that just drive up court costs which, since I am likely to lose the case, would just increase my debt?

