If you are suffering from serious issues with debt, you may feel like there is nowhere to turn. This is normal, and without the income necessary to pay your bills, you may feel like the only way to deal with the problem is to ignore it, throw your hands up in the air and declare you have given up, or become obsessed with the idea of winning the lottery. You may feel alone, and overwhelmingly burdened—but many others are dealing with the same stress. Today, there is over $1 trillion in cumulative credit card debt in the US. This is a milestone, and one that indicates many should act in reeling in debt, or finding ways to pay it off, before more severe repercussions occur. This is also the best time to consult with an experienced law firm like Fitzgerald & Campbell, APLC for advice on how to deal with and get back on track financially.
As the cost of living in the US rises above pay increases for most in an extremely frustrating manner, many consumers have trouble keeping up. While you may have already been struggling to get the bills paid, financial stress could have been further exacerbated by one or more events you could not have foreseen such as a serious health problem, a downturn in your career, a split from your spouse, or more. When something like that happens, not only may be money be extremely tight, but it can also be challenging to take time out to find a solution for getting out of debt. Creditors and debt collectors become more frenzied, and while some will only threaten to sue you, others will follow through with a collections lawsuit. And if you have anything they can take—this spells trouble.
It is best to respond to the collections lawsuit. With the help of a skilled attorney, you can do so, as well as fight—or negotiate. But if you do not and a judgment is granted against you, life can become very uncomfortable—unless you are completely judgment proof, and that is rare for most. In most cases, a creditor will sue because they think they have a chance to get their debt paid. And with a judgment, that means up to 25 percent of your wages can be garnished. Property can be seized to pay off your debt to the creditor as well. They also have the power to freeze funds in your accounts, and in many cases, up to twice as much as owed. The problem with this type of action from the creditor attempting to collect is that you may have outstanding checks, bills that need to be paid, checking account charges and penalties that accrue, and more. Keep in mind too that this type of action can be more prevalent for account holders who bank at the same institutions they have loans out with. If you default on payments to them, accounts could be frozen much more easily and quickly.
Not having access to your money can be a very serious problem—and any deposits you make (including direct deposits) could be sucked into the attachment on your account as well. Speak with an attorney as soon as possible to have the issue resolved—or, if the account is frozen in error, to have the situation reversed.
If you are finding it difficult to pay your bills, or are being sued, or have judgments granted against you, contact us at Fitzgerald & Campbell, APLC. We can review your current situation and discuss your options with you, whether that means fighting in court, negotiating a settlement, filing for bankruptcy, or more. Our attorneys have decades of experience representing clients in all types of financial matters, and we are here to help you! Call us today for a free consultation at (844) 431-3851, or email us at info@debtorprotectors.com.