A judgment is a legal decision issued by a judge. If you have defaulted on your debt payments, the creditor or collection agency can sue you for the unpaid debt. When a court summons is served, you are required to answer the complaint within the time mentioned on the summons. If you fail to answer the complaint by the specified date or appear in court after you have been notified, the court automatically renders the decision in the creditor's favor. This is known as a default judgment.
Can you be arrested after judgment?
Collection of a debt is considered a civil matter. Therefore, a warrant for your arrest cannot be issued.
If a creditor wins a lawsuit against an account holder, a judgment is recorded that legally acknowledges that the account holder owes the debt and is obligated to repay. As a result, the creditor can garnish your wages and bank accounts and put a lien on your property. The creditor won't be able to repossess or foreclose on your home or car. Unless you pay off the debt, the lien cannot be removed and unless the lien is removed, you will have difficulties selling your home. However, you cannot be taken to jail for not paying your debt.
Effect of a judgment on your credit report and scores
Once a judgment has been issued against you, it will be entered on your credit report and will remain for 7-10 years. It has a negative effect on your credit report and score. Moreover, a judgment can remain effective up to 20 years. This varies according to the state and the judgment can even be renewed before its expiration. Therefore, judgments are a matter of public record and can be viewed by potential employers and creditors or lenders.
If you fail to comply with the court order, it can result in further court action. Generally judgments specify a payment plan for you to repay the creditor the outstanding debt amount along with the fees incurred during the legal process. Depending on an individual's circumstances, repayment measures could include wage garnishment, bank account freezes, forfeiture of income tax refunds, or seizure of property (lien).
However, if you are not properly served with a notice of the lawsuit against you, you can file a Motion to Vacate the judgment or a Motion for Arrest of judgment. The Motion to Vacate the judgment nullifies the judgment and you can dispute the negative item off your credit report. Motion for Arrest of judgment too is more or less the same as Motion to Vacate judgment. This motion is a request to the court to overrule the judgment on the grounds that it has been granted in error.
Best way to avoid judgments
The best way to avoid a judgment is to pay all of your bills on time. If that is not possible, contact your creditors or the debt collectors and explain the situation. They may be willing to work out an alternative payment plan to help you pay down your debt. That is definitely better than allowing your creditor to take you to court.Moreover, judgment hurts your credit score. Thus, it is better to avoid a judgment.
I received a summons can I just write a letter and not have to go to court date.
86 year old mom served with a summons
Carol, my mom is 86 years old and had a B of A credit card she was paying on before she became ill. She is in a assisted living home right now and owns no property. She get SSI and a small retirement benefit from the state of California and currently resides in Colorado. The house she lives in received the summons which was hand delivered to an employee then given to my mom. My concern is they will go after her bank account and am considering bankruptcy, the papers did not allow enough time for us to answer the complaint, less than 10 days prior to court date before I could go through them. I am considering filing ch 7 for my mother but not sure if thats the way to go either.
selling property after summons, before jjudgment
can the court take any acrion if i deed my house and property to my two daughters after I have received a summons but before any judgement is issued by the court. Also if i sell my truck to them, and move all my money to them. My retirement cannot be garnished. Am I bulletproof. I will never need credit again. I am elderly.
judgement
what if the judgement is not signed by a judge, but is signed by a registrar. does it still stand as a judgement. many thanks
Fraud
I purchased a business and the P&S states all equipment in good working order. I have spent 7,000.00 in 6 months and more to come (another 4,000 minimum) in repairs or replacement - can i sue and win?
Unpaid HOA Fees
In the state of Arizona can you get arrested on a civil arrest warrant for non-payment of HOA fees?
Non payment of HOA fees
My case was not heard in court and I was ordered to pay the hoa fees, can I be arrested on a civil warrant for non payment?
Judgment
Hello Carol,
If I have a judgment against me can it be put into a debt cons plan?
assets
I have court next month and its over assets i already have a default judgement and now they are telling me pay a lump sum or show on your court hearing if do not show there could be a bench warrant for you. If i do show up i know it will look better but they wont take me to jail if i show up will they?
Debt over 7 years or longer on your credit report
Do you have to paid a debt that was on your credit report 7 years or longer? Can you get this debt off of your credit report?
judgement
i corresponed via email with the agency that payment will be made by a certain date but they keep sending sms with a deadline date and time by which payment should be made which is before the date i gave them no they say they will start judgement proceedings on monday what can i do
foreign judgement
what can they do to me if non payment of the repo of the car debt
Co-signor for a car loan
Hi Carol,
I co-signed a car last 2009 when I was still in Maryland and it ended up that my friend did not pay the car and had it repossessed by 2010. Now, I received a summon. Can you please help me out what are my options and why I am being sued instead of my friend?
Thank you so much for all your help.
Dennis
Ccj
Hi please can you give me some advice, I recently had a ccj for unpaid childcare....i rang the company who is dealing with it and offered £20 a mnt.....they told me I would have to send them a income and outcome expenditure .....which I have Been meaning to do....but I have been very unwell and have had to move house , this completely slipped my mind until today I've had another letter saying I have to attended court. I am not disputing I owe the money, I just wondered if I could still come to some agreement with them and not have to go court, or has it gone past this stage.....your help would be very appreciated .....vikki Adan
Unable to contact person who has judgement against me
A few years back I was in a car accident, and my car insurance had lapsed. The individual I hit ended up suing me and was awarded a judgment against me. When I went to try to make a payment based on the information I was given, I was told that person did not live there and I have not been able to find them. How can I pay the judgement against me if I can't even find or contact the person I need to pay. If I continue to be unable to find this person to pay, can the judgement be vacated?
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Insurance company refused claim
I have car insurance and was involved in an accident which I was at fault for. The car insurances involved refused the claims on grounds that I was a household member of the car owners vehicle and/or was related to them . Now I'm getting letters from collection agencies saying I owe the insurance a lot of money. Also that my drivers license is to be suspended indefinitely from the state I live in. Is this legal or right as I did have insurance at the time ?
Insurance company refused claim
I have car insurance and was involved in an accident which I was at fault for. The car insurances involved refused the claims on grounds that I was a household member of the car owners vehicle and/or was related to them . Now I'm getting letters from collection agencies saying I owe the insurance a lot of money. Also that my drivers license is to be suspended indefinitely from the state I live in. Is this legal or right as I did have insurance at the time ?
Insurance company refused claim
I have car insurance and was involved in an accident which I was at fault for. The car insurances involved refused the claims on grounds that I was a household member of the car owners vehicle and/or was related to them . Now I'm getting letters from collection agencies saying I owe the insurance a lot of money. Also that my drivers license is to be suspended indefinitely from the state I live in. Is this legal or right as I did have insurance at the time ?
judgemet
I've been notified that paper for judgement against me will be delivered within 3 weeks. I am on ss disabilty since may 2011. Debt incurred april 2011 for $500. Can soc sec be garnished?
colletion agency threating to put me in jail
3 or 4 years ago i rented a computer from aarons. I lost my job an couldnt afford topay it. They never made any attempt to pick up the merchendise never called or sent letters no contact. Now here were are 4 years later and they have a collection agency calling my family and tellibg them that im facing grand theft larceny chargez . I offered to make payments to pay it off they refused to work with me so itold them i would return it to aarons an they refused it also. My question is are theyallowed to call an harrass my family an can they really put me in jail for this matter?
Prepaid Credit/Debit Card
Can a prepaid credit card be tracked and garnished?
Have so many judgements can go jail?
Dear.. Miss Carol
Me and my husband we are an older person who live under strict income. When my husband receive SSI from retirement,I was continued working to support family.But currently I have been stop working due to my disabled.We begin to make a lot of loan try to keep the resident that we live.Our rent is a little higher bc we shelter our young son who still in college. My questions are:
1) If we have more than 3-4 Judgement s against us do we go jail for that as fraud issue.
2) Some of loan we haven't make first payment (by ACH) yet our account got close due to too several overdraft fee and insufficient fund.
Do we will, get changed for fraud . Since Bankruptcy is not our option
How can we safe from Frozen the bank account. That mean we will immediately become homeless!!!
I'm really appreciate your time to answer me/ Thank you xxxx
Negotiate payment plan
Carol I have a judgment against me and would like to call the attorney for the creditor and arrange a payment plan for a lower amount is that possible?
Civil Matter
Trying to find an answer to a problem I have. My son and I were in a fencing business together for several years. We had several pieces of equipment that we had acquired over the years. We quit fencing in 2006 and the equipment just sat. Then I lost my son to cancer in 2012, Before he passed we had the verbal understanding that when I sold the equipment that I would give his share of the sales to his three oldest children by his first wife, I agreed totally. But as time went by after his passing, his second wife wanted the money or equipment for her two children at home, I sold all the equipment and did as I was asked now his second wife is threatening to sue me for everything I sold, and I have done exactly as my son asked me to do. Can you advise. Thank You.
your statement
The creditor nor the court can garnish your wages or put a lien on your property. At least not in my state. If you are not an attorney you need to stop giving such wrong opinions, if you are an attorney, your clients are in trouble.
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Judgement
If a judgement is entered against me how can I make payment arrangements to pay off the judgement?
Debt and judgement
Hello Carol,
I just looked up in my county court website and there are no warrants against me, so this means I wont be arrested right? there is only case regarding the debt.