It’s one thing to learn about money management in school as a teen or young adult, but another matter altogether to put such discipline into real-life practice. And while you and many other consumers today may be aware of the pitfalls of falling into credit card debt or overspending, often there are serious circumstances—and expensive ones—that are beyond your control.
Medical debt is the leading cause of financial distress for consumers in the US, and it is also the number one cause for bankruptcy—especially Chapter 7. Student loans are close behind, however, with many younger borrowers in the US missing out on life as our parents and grandparents may have known it in terms of taking on both the joys and the responsibilities of purchases like homes and new cars—along with taking the plunge to get married or have kids.
Being late on a bill like a credit card or a vehicle is unsettling and being chased by debt collectors continually is worse! If this sounds like your current situation, contact an experienced attorney from a firm like Fitzgerald & Campbell, APLC as soon as possible to examine options for resolving your financial problems. This becomes even more urgent if you have been served with a collection lawsuit. Legal help is required at that point to file a response, as well as outlining your grounds for a defense if that is the route you choose to go. While you may be interested in negotiating a settlement with the creditor or debt collections agency, a defense as simple as asking them to prove their standing to sue may be enough to cause them to fold, leaving the debt dismissed.
In the case that you do not respond to the collection lawsuit, your financial situation can begin to go further downhill—and fast—with a default judgment. While you may still not have the cash to pay the debt, the creditor becomes much more powerful in terms of seeing it satisfied through more aggressive means such as diverting funds from your paycheck (this could be up to 25 percent of your disposable income), freezing your financial accounts (with full cooperation from your bank), and even taking property and then selling it at public auction. It is better to fend off a default judgment if possible, but even this action is reversible with the help of a skilled judgment attorney.
Speak with an attorney from Fitzgerald & Campbell, APLC as soon as possible to examine your options. Our attorneys have decades of experience in serving clients as they navigate through challenging financial situations, to include student loan issues, bankruptcy, and other debt management processes. We are here to help! Click here to schedule a free 30-minute consultation, call us at (844) 431-3851, or email us at info@debtorprotectors.com.