Protect Yourself Against Debt Related Lawsuits
When your bills adds up to more than your take-home pay, it's not long before you start to have legal trouble. Two of the worst things most people can imagine are being broke and being sued. Unfortunately, it happens more often than we'd like to think. If creditors can’t collect payment after hassling you to your wit's end, they can file a lawsuit against you. In cases like this, you have almost no chance of winning, because when all the cards are on the table, the judge will see that you do in fact owe the creditor.
What’s a Judgment?
If that’s the case, a judgment will be awarded and the creditor will have you at their mercy - and by this point there’s no point in negotiating. A judgment basically gives the creditor the legal right to forcibly collect their money from you (without consent), either by tapping into your bank account, garnishing your wages directly from your employer or even liquidating your most treasured possessions. This can obviously be devastating. And not only is the creditor awarded rights to collect the amount that you still owe him, but there are certain to be interests and fees added on top of the base amount. And if that wasn’t enough, a judgment also impacts your credit and will remain on your credit report for years.
Long story short, when you owe money and aren’t able to keep up on your payments, creditors can use the law to take devastating actions against you and your family. What a mess!
Here’s What to Do
One of the most effective ways to avoid all of this mess is to file for bankruptcy. Filing for bankruptcy instantly stops all collection efforts on most types of lawsuits, including judgments, garnishments and more! The creditor’s hands will be bound. Once the bankruptcy case is successful (which can take as little as 3 months), the applicable creditors would be notified that you no longer owe them anything.
The experts at Lincoln Law can advise you on whether filing for bankruptcy is the right decision for you. They can answer any questions you have regarding debt, creditors, and your financial future. Call them today for a FREE Consultation at 800-404-0018.