Results 1 to 10 of 15

Threaded View

  1. #8
    Join Date
    Sep 2005
    Location
    Behind a Desk
    Posts
    98,846

    Default Re: How to Answer a Lawsuit Filed by a Bank

    We're getting way ahead of things by talking about foreclosures. 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). I'll say this much: If this is a foreclosure of a junior lien (of only $5,400) and you have equity in your home, find a way to pay off the $5,400 -- but given the cost of foreclosure, if there is a senior lienholder and not much equity that's not a step that a junior lienholder is apt to take.

    You need to file some sort of answer with the court to avoid default.

    If this is a credit card, between the fact that the debt is dischargeable in bankruptcy, the fact that collection efforts actually cost them money (that they can try to recover from you, but only if you have it -- and that, too, would be dischargeable in bankruptcy), adn that they have little incentive to spend many thousands of dollars to try to chased down and collect a @$5,400 judgment when you may not even be able to pay the judgment itself, you can relax a bit.

    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) or through wage garnishment.

    1. Sponsored Links
       

Similar Threads

  1. Pleadings: No Answer Filed to a Counterclaim
    By gfb76 in forum Civil Procedure
    Replies: 2
    Last Post: 05-30-2012, 05:12 PM
  2. Pleadings: How Do You Answer a Collections Lawsuit
    By BamaGirl in forum Civil Procedure
    Replies: 3
    Last Post: 03-25-2012, 11:48 AM
  3. Removal (Deportation) and Reentry: I-212 Filed and No Answer
    By GINGEEE in forum Immigration Issues
    Replies: 3
    Last Post: 04-14-2010, 09:05 PM
  4. Debt Collectors: Answer Filed in Florida
    By bigbillp in forum Debts and Collections
    Replies: 1
    Last Post: 08-09-2009, 08:57 PM
  5. Divorce: Filed Divorce but No Answer from Lawyer
    By dg2000 in forum Divorce, Annulment and Separation
    Replies: 1
    Last Post: 07-15-2008, 07:25 PM
 
 
Sponsored Links

Legal Help, Information and Resources