A judgment is when you are taken to court for a debt.

A judgment is when you are taken to court for a debt…you pay the court expenses by the way…they don’t have to show up either….the judge decides what you will pay on the bill monthly and then he moves on to the next person…this is entered as a judgment against you and is on your record at the credit bureau for 7 years.

Is having a court judgment for debt affects employment? is there imprisonment for non payment of debt? how can i negotitate with my credit card companies to lower the interest rate or waive late payment fees.

It could affect employment if the prospective company runs a credit check. The judgment will affect your credit in a big way. There is no imprisonment for debtors, otherwise half the country would be in jail with all of our out of control spending.

Give your creditors a call and ask what they are willing to do for you. I like to get everything in writing first, but I don’t always get it, then I have to decide if I can trust them (stop laughing everyone!) or just insist on written info or don’t go with their proposal.

Thank you for everyones advice. I am waiting to receive the papers becasue my parents live in a different state than me( I live in New York and have for 6 years, they live in Ohio). Then I can see what this is all about. I’m not sure if my court date is even in Ohio or New York becasue my parents didn’t open it. Will I have to be there? I can’t take time off work right now becasue we are so busy. My mom did mention that the court date is Feb 14th- Happy Valentines Day haha.

I will definitely try to contact the creditor once I see who it is and try to make a deal with them. I hope there is no time limit that has run out already though and responding to these papers? What should I offer them- the full amount up front including fees? I am afraid that it will be much more than my original credit card bill.

The only debtors prison in the USA is the prison without walls that debtors may find themself in if they are unable to pay a creditor off in a timely manner . Loan shark interest fees, over the limit fees that usually got there because of the L S interest, and late payment fees are the main
reason for this prison.

I saw on Lou Dobbs this evening that the US Senate banking committee
is looking into unfair practices in the CC industry. My favorite author , Elizabeth Warren testified. Her book ALL Your Worth is a keeper. Lots of great info in this down to earth book written by the Harvard Professor.

Those who lobby for the CC and banking industry must be busy on the hill with this hearing going on. Hopefully they will not be successful and some changes will be made. Kudo’s to Elizabeth Warren and Democrat Senator Christopher Dodd of Connecticut!

Check your state laws

First, check your state laws to see if you (or your parents) were properly served. laws vary from state to state on the proper way to serve someone. (e.g. some require that you get physically served, while others say that publication in the newspaper and/or certified mail delivery will suffice).

If your state is one of the fortunate ones that have the law where they physically have to serve you, then the collection agency committed an FDCPA violation by “threatening to sue with no intention of doing so.”

I’d call after going and getting the papers you apparently got and see why they sent it to your folks instead of you. That sounds fishy.

As someone mentioned earlier, they will contact anyone they can find. I still get notices at my mother’s address claiming I owe some money and I haven’t lived there in thirty years!! (On a side note, since she passed away in November, bill collectors call while I’m trying to clean up her house. It’s a bit of a shock when I tell them she has died and can’t pay anything at this time).

In California, $5000 would be considered small claims (someone correct me if I am wrong) and no lawyers are allowed. I still have not seen an answer (or I missed it) to what it means to have a judgment against you.

Are you being sued or are they taking you to debtor’s court? Try the Free credit counseling services. Do you have an actual copy of the the suit and do you know the name of the credit card company that is suing you?