What do you do if you have been sued?
If you received a lawsuit you have a couple options:
- Attempt to Negotiate a settlement before the answer is due. Many consumers recognize they may owe a debt and choose to attempt to settle the debt before an answer is due to the court. They are often receptive to a quick settlement rather than spending more time and money in a lawsuit. Even if they can provide some of the documentation to the court, there is always a chance they could lose.
- Answer the Lawsuit. Even if a consumer thinks they owe a debt it is still up to court to decide that you owe the debt. The plaintiff has to prove that they have the right to file suit, and have enough documentation to prove a debt is owed. They may not be able to successfully produce all required documentation when challenged.
- Do nothing. Many people decide to do nothing for lack of funds or fear of what can happen. The plaintiff may take a judgment against you and then ultimately have you bank accounts frozen (bank garnishment). Judgment creditors can also wage garnish. See rules for Wage Garnishment. Judgments in Texas are good for 10 years initially and they carry a minimum interest of at least 5%. The amount of an unresolved judgment can significantly increase over time.
- Seek bankruptcy protection. If you are interested in seeing if bankruptcy is right go to a Bankruptcy Attorney.
IF YOU ARE SUED, YOU NEED TO ANSWER THE LAWSUIT PARTICIPANTS IN THE SYSTEM OFTEN HAVE A BETTER OUTCOME THAN THOSE THAT DO NOTHING.
A creditor or debt buyer may decide to file a lawsuit against a debtor if they feel this is the best way to collect a debt. Debt collector lawsuits are filed by the thousands every month. In fact, many people are surprised that they are being sued for only a few thousand dollars or believed that since it was a credit card debt they would not be sued.
Debt Buyers that File Lawsuits
- Absolute Investments LLC
- Absolute Resolutions Investments LLC
- Absolute Resolutions, LLC
- Advantage Assets II LLC
- Alasia LLC
- Arrow Financial Services
- Asset Acceptance LLC
- Atlantic Credit and Finance Inc.
- Autovest LLC
- Axiom Acquisition Ventures, LLC
- Bluebonnet Financial
- CACH LLC
- CACV of Colorado
- Cadles of Grassy Meadows II
- Cavalry Portfolio Services
- Cavalry SPV I
- Conns Appliances, Inc
- Credigy Receivables
- Credit Corp Solutions
- Crown Asset Management LLC
- DNF Associates LLC
- Dodeka LLC
- ECCO 2018TX1 LLC
- Equable Ascent Financial LLC
- Frost Bank
- Galaxy International Purchasing LLC
- Grassy Sprain Group Inc.
- Harvest Credit Management LLC
- Hilco Receivables LLC
- Hudson and Keyes LLC
- Integras Capital Recovery LLC
- Investment Retrievers
- Jefferson Capital LLC
- JH Portfolio Debt Equities, LLC
- JHPDE
- LCS Financial Services
- Lutea LLC
- LVNV Funding LLC
- Main Street Acquisitions
- Midland Credit Management Inc
- Midland Funding LLC
- Mountain Lion Acquisitions Inc
- MRC Receivables Corp
- National Collegiate Student Loan Trust
- NCB Management Services, Inc.
- NCEP LLC
- Northstar Capital Acquisition
- Oliphant Financial LLC
- Palisades Collection
- Pallida LLC
- Persolve Legal Group
- Persolve Recoveries
- Pharia LLC
- PNC Bank
- Portfolio Recovery Associates
- Pro Credit Solutions LLC
- Resurgent Receivables LLC
- Second Round
- Second Round Sub LLC
- Sequoia Concepts Inc
- SFM -6 LLC
- Sweeney Financial Management
- TBF Financial I LLC
- The Best Service Co Inc
- Troy Capital LLC
- UHG I, LLC
- Unifund CCR Partners
- Velocity Investments, LLC
- Vion Holdings
Creditors that File Lawsuits
- FIA Card Services
- First National Bank of Omaha
- First Technology Federal Credit Union
- Ford Motor Company LLC
- Forsythe Finance LLC
- Gaia Finance, LLC
- GECRB
- Goldman Sachs
- HSBC Bank
- JP Morgan Chase Bank
- LA Financial Federal Credit Union
- LoanNow LLC
- Lobel Financial Corporation
- Mariner Finance
- Merrick Bank
- Nebraska Furniture Mart
- Nuvision Federal
- OneMain Financial
- Provident Credit Union
- Redwood Credit Union
- SchoolsFirst Federal Credit Union
- Shenandoah Funding Trust
- Star One Credit Union
- Student Loan Solutions
- Synchrony Bank
- Target National Bank
- TD Auto Finance, LLC
- TD Bank USA
- Texans Credit Union
- The Golden 1 Credit Union
- Unify Financial Federal Credit Union
- US Bank National Association
- Wells Fargo Bank
- Wilmington Savings Fund Society FSB