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  1. #1

    Exclamation Can You Settle a Collection Lawsuit Without a Judgment

    My question involves collection proceedings in the State of: Maryland

    Early August I received a summons to court for an old debt from portfolio recovery for about $800. I filed an intent to defend, but I planned to call and work out a payment plan. I ended up getting hospitalized and never got to calling them. I'm home, and things have settled down and now I realize my court date is coming up. It is on 9/10, here we are on a Friday evening of a holiday weekend, so i likely wont reach them until tuesday. I was going to offer to pay them $100 monthly until its paid off, but i dont know if were too close to the court date to work something out without going to court. I'd really love to avoid going to court and getting a judgement. If I do have to go to court, can you work out a payment plan there without getting a judgement against you?

  2. #2
    Join Date
    Sep 2010
    Posts
    18,910

    Default Re: Going to Court for Debt, Can I Still Avoid a Judgement

    Unless the case is withdrawn, you must go to court. You don't go, they'll get a default judgement against you.
    Not sure what defense you have or what incentive the creditor has to withdraw the suit. They're free to take payments from you once they have a judgment. They withdraw the suit now they may be barred from starting it up again if you fail to make the payments.

  3. #3
    Join Date
    Mar 2013
    Posts
    16,760

    Default Re: Going to Court for Debt, Can I Still Avoid a Judgement

    Quote Quoting Deathcabforchristina
    View Post
    If I do have to go to court, can you work out a payment plan there without getting a judgement against you?
    You haven't paid anything voluntarily toward the debt in a long time. The creditor is not going to believe that you will pay as promised. The creditor has already incurred the cost of filing and serving the lawsuit. No reason to drop and accept a payment plan that might be defaulted on when the creditor can garnish your paycheck for a lot more than $100 per month.

    Sorry, but you have no leverage here.

    The best way to get the lawsuit dropped is to pay in full before the judgment.

  4. #4

    Default Re: Going to Court for Debt, Can I Still Avoid a Judgement

    unfortunately due to my hospitalization, i missed a lot of work, and dont have that much money up front. SO i guess its not even worth it to waste my time to call them?

  5. #5
    Join Date
    Mar 2013
    Posts
    16,760

    Default Re: Going to Court for Debt, Can I Still Avoid a Judgement

    Doesn't hurt to ask. Just don't expect much.

  6. #6
    Join Date
    Nov 2013
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    6,163

    Default Re: Going to Court for Debt, Can I Still Avoid a Judgement

    Quote Quoting adjusterjack
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    The best way to get the lawsuit dropped is to pay in full before the judgment.
    Or ask what the creditor will accept to cancel the debt. If you owe $800 you offer $600 or $500 or even $400. You don't know, they may accept it. CC companies negotiate all the time.

  7. #7

    Default Re: Going to Court for Debt, Can I Still Avoid a Judgement

    Good news! I called this morning, and luckily someone in the litigation department was there, and the guy was actually very nice. We were able to set up a payment plan with automatic debit in 4 separate payments, and they stated there would be no more actions to collect this debt. The man was actually very nice, and not scary like i was thinking it would be.

  8. #8
    Join Date
    Nov 2013
    Posts
    6,163

    Default Re: Going to Court for Debt, Can I Still Avoid a Judgement

    We are glad it worked out for you. Now just make sure the money is in the account when the debit is made. And you might want to ask this nice guy for something in writing that says what he told you on the phone.

  9. #9

    Default Re: Going to Court for Debt, Can I Still Avoid a Judgement

    He said they were sending me a form, and to sign it and return it right away.

  10. #10
    Join Date
    Nov 2013
    Posts
    6,163

    Default Re: Going to Court for Debt, Can I Still Avoid a Judgement

    Then you should be good to go.

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