Credit Card JudgementsCan It Happen To You
Credit Card JudgementsCan It Happen To You Credit card judgements are judgments against you for unpaid credit card debt. When you�re sued, you appear in court along with the collection agency that�s handling the debt for the credit card. If you owe the money, before you leave the courtroom credit card judgements will be found against you. What does this mean? Credit card judgements simply mean that the judge found you to owe the money and is now ordering you pay what you owe. You may not be required to pay it all at once. In fact, you will almost always be given the option to make payments. Then when the judgment is found against you, it requires you to make those payments in a certain way. You�ll have to make them on time each month or risk being called back before the judge. How can you avoid credit card judgements? The most obvious way is to avoid being sued. If you can find a way to pay your credit cards off, you should do it. Almost any type of debt is preferable to credit card debt because of the compounding interest rate on most cards. You should think twice before taking any kind of loan to pay off credit card debt, though. If you get a loan that uses your home for collateral, defaulting on that will cost you your house. It�s much better to avoid that scary situation and find other ways to pay the debt. If you have to take extra work, work more hours or take a second job to pay down debt, you should do it. That might sound extreme and you wonder when you�ll sleep. But consider the sacrifice you make a good one. If you can get your debt down to a reasonable level or pay it off entirely, then you won�t have to work like a dog forever. It�s a short term, temporary fix that can keep you from being sued and having credit card judgements found against you in court. If you appear in court and can�t make the payments even after that, you can have your wages garnished. You can have a lien put against your home. It�s unlikely that your home would be seized and sold to pay a credit card debt, unless the debt is huge enough to warrant something that extreme. But if you went to sell your home, the amount of the lien would come off the top and go directly to the credit card company. This can prevent you from being able to afford the home you want, and can affect everything involved in the sale. If you owe a credit card company, they will get their money from you eventually, one way or another. Filing bankruptcy is the only way to get rid of the debt without paying it. And you may not even be able to file bankruptcy. It�s best to avoid bankruptcy anyway and instead find ways to pay the money that you owe to prevent credit card judgements against you.