When you are in debt, it’s not uncommon to feel like you’re drowning. Unfortunately, debt is a difficult cycle to break, and for many, it may grow out of control. With that said, if you find yourself at the center of a debt lawsuit for funds you owe, it can feel like your world is shattering. However, it’s important to understand your legal options during these matters. If you are sued, it’s important to connect with an Arroyo Grande consumer lawyer who can help you explore your debt defense options. Keep reading to learn more about these matters and what you should do if you are sued.
What Should I Do if I’m Sued for a Debt?
When you are served papers for a lawsuit over an owed debt, understanding the steps you must take is critical. Unfortunately, many aren’t aware of how serious these matters are and what happens if they do not take the correct steps. When you are served, the first thing you should do is carefully read the contents of the papers. This will contain important information regarding who has filed the suit against you, the amount they claim is owed, and when you must respond to the petition.
Ensuring you respond to the petition is critical as if you fail to file a response, the creditor or collector who sued you can receive a default judgment. Essentially, this means the plaintiff, or person who filed the lawsuit, can be awarded the full compensation they are suing for, as well as any interest or attorney fees.
What Debt Defense Options Do I Have?
If you are served with papers suing you for a debt, the first thing you should do after reading the papers is connect with an experienced consumer attorney. Unfortunately, many are unaware of the complications that can arise during these matters, so they may believe they can navigate this process on their own. Instead, it’s in your best interest to connect with an experienced attorney who can help you explore your legal options.
When you are sued, your attorney may attempt to settle on your behalf with the other party in exchange for dropping the lawsuit against you. This could be a repayment plan for the funds you owe or submitting a lump-sum payment.
Another option is to fight the lawsuit. If you have reason to believe the debt does not belong to you, is the result of fraud, the debt is past the statute of limitation, you were not served properly, or the collector violated the Fair Debt Collection Practices Act (FDCPA), you may be able to fight the lawsuit.
As you can see, these matters are incredibly complicated, and trying to fight a lawsuit on your own can have unfavorable outcomes. That’s why it’s in your best interest to connect with an experienced attorney who can help you fight for the best possible outcome for your circumstances. At Loker Law, we understand how frustrating these matters can be, which is why our firm is dedicated to helping you. Contact us today to learn how we can assist you during these matters.
