Your Options If Sued By A Credit Card Company

Some situations like debt are unavoidable, as they can save you in your hour of need. However, left unchecked, debt,  such as that of a credit card, has repercussions and could land you in court. For a credit card company to reach the point of suing you, it will have exploited all other means of getting you to settle your debt.

You have probably ignored their calls, causing them to resort to the best way they know how, filing a lawsuit against you. Being sued for credit card debt can be a nerve-wracking experience, but only when you aren’t aware of your legal options. A credit card company has every right to sue you for defaulting on your payments, but you also have rights.

Do You Need a Legal Representative?

For a better outcome in a case involving a defaulted credit card debt, you need to seek legal representation. The following situations explain better when to involve legal counsel after a creditor sues you.

• You Have a Defense to Raise in Court 

Some of the defenses that a lawyer can help with include when the creditor sues you after the statute of limitations has expired or passed. The statute of limitations is the deadline during which a creditor can sue for defaulted debts, and it varies among the different states of America. In Texas, creditors have exactly 4 years to bring up debt lawsuits. The years are counted from the last time the defendant made their first default or made the last payment.

If this turns out to be the case, you can walk scot-free after enough evidence to support the same is presented by your attorney. Another scenario where defense applies is when your suing creditor cannot prove that you owe them the debt. This happens when the original creditor isn’t the one filing the lawsuit. Also, if a credit company wrongly sues you on a basis such as mistaken identity, you need an attorney to help you prove to the court that they targeted the wrong person.

• You Don’t Understand Your Legal Rights

Not every credit card defaulter is aware of their rights or how to go about a court summons after being sued by a debt collector or creditor. For instance, you have a right not to be harassed through phone calls made by your creditor or be threatened in any way. More importantly, some defaulters aren’t even aware of the consequences of being served with such a lawsuit. Among the consequences of losing the lawsuit include seizure of personal property, garnishing your wages, as well as being ordered to pay accrued debt interest and court fees. A lawyer will help you understand all these and more specifics of the case.

• You Need to Negotiate a Settlement

With the help of an attorney, there is always a higher chance of negotiating a debt settlement with the creditor. Most credit card companies are inclined to settle for a lesser amount than what they are owed because they understand trials can be expensive.

Can You Represent Yourself in Court?

What next if you cannot afford an attorney? There is always an option, such as getting a low-budget or free legal representation from legal clinics that assist low-income earners. You can also explore the option of paying for legal consultation for an hour, for helpful insights on how to present yourself in court.

Is It Possible to Evade Judgment by Moving to Another State?

A judgment can follow you to another state under the United States Constitution. Therefore, you don’t stand a chance to run away from judgment by moving to another state as long as it is proven to the foreign court that the judgment is valid.

Find Legal Help in Texas

Are you in  Texas and need an attorney after defaulting your credit card debt? Warren & Migliaccio, L.L.P Attorneys at Law have legal counsel best suited to represent your case , even if you already have a judgment against you. Don’t hesitate to contact us for a free consultation and further information on the way forward.