What do I do if a credit card company sues me?
What to do if you’re being sued for credit card debt
- Try to stop the lawsuit.
- Contact a lawyer.
- Consider your defense.
- Respond to the summons.
- Follow the court proceedings.
- Decide whether to accept the judgment.
Can I settle a debt after being served?
Yes you can negotiate and settle a credit card lawsuit. In some cases, if you cannot raise enough money to settle in a lump sum, you will be able to set up affordable payment arrangements to keep from being garnished, or your bank account levied.
Can a credit card company sue you for unsecured debt?
Unsecured Debts. Unsecured creditors such as credit card companies and most trade creditors must first sue you and win a money judgment against you before they grab your income and property. Instead, the creditor may simply write off your debt and treat it as a deductible business loss for income tax purposes.
Can a credit card company sue you after 7 years?
If you’ve stopped paying your credit card bills, your card issuer will probably sell your debt to a collections agency after six months. That agency now has as few as three years and as many as 10 years to take you to court and sue you for that debt. This one comes from the Fair Credit Reporting Act, or FCRA.