I'm in Texas. I had a credit card debt from 2001. If I don't go to court what are my repercussion on a default

Question

I was served a citation to appear in court for a credit that was in default which another company bought the account. This credit debt is from 2001. If I do not go to court what are the repercussions they charge me with a defualt judement? I am in the state of Texas.

Answer 1

I guess the first poster does not realize that wage garnishment is not allowed in Texas. Plus, if they get a judgment they cannot seize property on a credit card debt.

They would be able to seize bank accounts and place liens on any property in your name.

You need to answer the summons and show up on the court date.

If you defaulted in 2001 then you are "long" past the collecting SOL in Texas. (§ 16.004. Four-Year Limitations Period) and they have violated your rights by filing suit on a time barred debt.

You should include an Affirmative Defense of SOL in with your answer.

Since they filed on a time barred debt, you could file counterclaims against them for not only FDCPA violations, but also violations against the Texas Finance Code (TFC)

Answer 2

A judgement will be filed against you in the case of you failing to appear. The judgement will go in favor of the creditor for the full amount owed (including interest & fees).

If you go to 'arbitration' first, as they normally do- you can settle with them and plead your case and get lots of the fees wiped off and setup a payment agreement. If you default on the payment, you will be required to owe the full amount and further action will be taken. Best of luck. Don't stress...it'll pass...just do what you gotta do. It's easier if you face it all head on instead of running from it. Be strong. :)

Answer 3

Since the original creditor or collection agency could not collect from you they opted to sue you. Basically you've received a summons to appear in court. Appearing is highly recommended...at least you can plead your case. Even if you don't show up...they'll just go ahead and charge you in your absence. They'll just ahead and garnish your wages and if the default is on property, vehicle or tangible asset they'll repossess it.