Ohio Bankruptcy, Dayton Bankruptcy
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Debt Lawsuit Solutions

Debt Lawsuit Solutions

: Richard West Law Office

debt lawsuit solutionsFiling debt lawsuits is a common tool used by lenders like credit card companies to recover the money that you owe them. Once they receive the order to collect, there is a long list of methods that they can use. Collectors, in this case, the lenders themselves, will go after your monthly salary. It is also not uncommon for them to lay levies on property as well. Garnishments are ugly and you do want to face it, ever. When faced with the threat of court, learn these debt lawsuit solutions.

Debt Lawsuit Solutions

The biggest mistake people make is receive the lawsuit in the form of a letter and do nothing. Never ignore a legal document like that. If you do not respond, it makes it easier for your lender to get that judgment against you. Get to work right away, start looking for ways to negotiate. One way that has been quite useful is putting together the cash, even if it is a small amount, and pay the lender. It opens up a path towards negotiating a repayment without involving the courts. If possible to pay off all the money by pooling in cash, do it.

When you do make a small token payment, negotiate a repayment schedule that works for you. Then make sure you get in writing that you have made a payment towards the debt. That should prompt the lender to drop the lawsuit. You then need to work towards paying it off step by step.

If none of these methods work out, you might want to consider filing for bankruptcy. There are two forms of bankruptcy that you can file for and you need a good bankruptcy attorney to help your case. It might not be the best course of action, but considering the state you are in, it might be the only way. Remember that it will leave a permanent mark on your credit ratings if you do file for bankruptcy. Do not treat it like an easy way out. Bankruptcy is only an option when you are unable to scrape some cash together or not be able to negotiate with the lender.