Infographic authored by Michael Weston Judgement Defense Attorney.
Recently there have been a flood of thousands of Default Judgments entered against consumers by credit card companies and debt buyers. Many consumers are not properly served with the lawsuits. If you have a current lawsuit and no judgment, please refer to our other site TexasCreditCardLawsuit.com.
What are the Judgment Problems in Texas?
1) Cloud title on your homestead property
If you own a home, a judgment can cloud title on your HOMESTEAD. In Texas your homestead is protected by the Texas Constitution from a forced sale of the property from most judgments, however, in my experience you will have a difficult time ever selling or re-financing your homestead unless you obtain a partial or full RELEASE of the judgment. Do not let your heirs or beneficiaries be burdened by a judgment entered against you.
2) Garnish/Freeze/Take your bank account(s)
In Texas a creditor can garnish your bank account. Many consumers confuse this with garnishing of wages, which is prohibited in Texas for most types of creditors. Creditors often garnish bank accounts on judgments months or years later without notice to the consumer.
3) Seize any “non-exempt” property from you
A judgment creditor in Texas can force the sale of any non-exempt property that you own. Generally they do this with a “writ of execution.” They send the sheriff or constable out to your property to search for non-exempt property that can be seized and sold at auction.
4) Put the judgment on your credit report for 10 years
A judgment is usually reported as a “public record” on your credit report similar to a Bankruptcy or tax lien. Often this type of record is often devastating to a credit report because bad debts are supposed to be removed from your credit report after 7 years from the final payment to the original creditor. A judgment, however, can stay on for 10 years or more if it is renewed.
What are the Judgment Remedies in Texas?
1) Bill of Review
First and Foremost: were you properly served with the lawsuit? If this is the first you are hearing about this then I suspect you were not properly served. If this is true then a “Bill of Review” could possibly be filed to try and vacate/undo the judgment that was rendered against you.
2) File a Partial Release of the Judgment
If you were served with the lawsuit, you can still file a partial release of the judgment as it pertains to your homestead. This can be done without paying the judgment creditor anything and the partial release can clear any cloud on your homestead related to this judgment.
Creditors will often give a discount on the judgment if you have the ability to settle. We can work with you if this is an option to ensure that you get a full release of the judgment in exchange for a settlement.
A Chapter 7 Bankruptcy will wipe out this judgment if you qualify. Contrary to popular belief, most people still qualify for Bankruptcy and can keep just about everything they have. If you have significant debt and little ability to pay then Bankruptcy may be a better option for you and can provide you with a fresh start where you do not have to worry about this judgment. For more information on Bankruptcy refer out our Bankruptcy Site: www.Texas-BankrutpcyAttorney.com
What are the Fees?
There is NO CHARGE to have us examine your situation and advise what the best solution may be.
After reviewing your situation we will generally quote you FIXED FEE. This means that you will not have to worry about paying an hourly rate and you will know exactly how much it will cost to hire us. We also have a variety of payment plans on our fees.
What Cities in Texas does Weston Legal support?
Michael Weston provides Debt Lawsuit Defense in all cities of Texas, USA.
We would be happy to answer any additional questions that you may have about this judgment. Please call or email now. We look forward to hearing from you.