Hi, I got Summon to court for my balance on DISCOVER CREDIT CARD(over $7K); what should I expect to happen?

Question

Hi, I got Summon to court for my balance on DISCOVER (over $7K); what should I expect to happen? Anyone in the the same position or know anything about procedures the big credit companies in these cases? What actions should I expect from them? ANY ADVICE. APPRECIATE!!!!

Answer 1

Its best to reach a  settlement with them before a judgment is reached against you in court, especially if you legally owe the money.

They are willing to work with you and you can tell them how much you can afford to pay each month.

If they get a judgment against you not only will you be responsible for the court cost, but also the attorney's fee of the plaintiff.

A judgment is also really bad on a credit report. Its way up there with a bankruptcy and can drop your credit score by up to 100 points and stay on your report for up to 15 years depending on the debt.

Answer 2

Let me guess, have you been ignoring their bills and phone calls? They are probably gong to put a judgment on you.  You could get a lawyer, but it is not much help if you legally owe them the money.  It would be be better if you contact them and initiate a payment plan before they place a judgment. You may even get them to agree to drop some of the interest, especially if you can offer them a settlement of a partial payment.  They will probably have you sign something and if you miss one payment, it will default into a judgment. Once they are awarded a judgment against you by the court, it is recorded at County level, and that is picked up by the credit reports, anyone checking your credit history, etc. It is usually public knowledge, anyone can see your file.  Remember all that fine print when you got your card?  LOL, that is what they will use against you. You probably gave them your bank account info, they can put a freeze on your account, which can make life miserable.  They can petition to garnish your wages and take a certain amount from your paycheck until the debt is paid off.  In New York, they can renew the judgment after 10 years, it usually does not go away.  Abstractors have been known to do 20 and even 40 year searches on unpaid debts. Your credit is severely affected if you are trying to get a loan for a car or home, etc.  If they do a judgment, make sure when it is paid off, they send a SATISFACTION to add to your file.  As agressive as they are to put a judgment on, they are not very quick to say it was satisfied. My experience is with New York, you might want to contact a lawyer to see how it works in your state. Good Luck!