How to Respond to a Court Summons for Credit Card Debt
So you've received a summons to appear in court for a credit card debt. What this means is that a creditor has decided to sue you in a civil court case for a debt you owe. You may not have heard from the creditor in years, or the creditor may have sold your debt for pennies on the dollar to a collection firm that makes its profits by collecting in court on the debts it "buys" from the original creditors. As scary as this seems, don't panic. The outcome may not be to your liking, but you won't go to jail. Here's what you should do.
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Instructions
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Before Your Court Date
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Verify the court date and write it on your calendar or set up a reminder of some sort to make sure you don't forget to appear.
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Determine your position on the issue. Is the debt valid? If not, gather any evidence you have to this effect (for example, canceled checks proving payment or bankruptcy papers proving the debt has been discharged). You don't automatically lose if you have no proof -- the burden of proof lies with the plaintiff, so you can still state your case.
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If the debt is valid, determine whether you can afford to pay any portion of it. Be realistic in your assessment, write down the maximum amount you can afford to pay, and take the number with you to court.
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Decide whether you want to hire an attorney to represent you. Most people go it alone and represent themselves in these cases. You will be given a chance to state your case before the judge. Unless your circumstances are exceptional, you can probably spare yourself the fees associated with hiring an attorney. If you do decide to confer with an attorney, look for one that offers a free initial consultation.
On Your Court Date
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Expect to spend half a day in court. Your case will take only a few minutes -- the rest of the time will be spent waiting for your case to be called.
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Don't be surprised if the plaintiff's attorney seeks you out before your case is called and asks you to step outside to discuss a possible settlement. If you can agree on the terms of a settlement, you won't need to appear before the judge, but don't allow the attorney to bully you into agreeing to pay more than you're capable of.
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When you're called to go before the judge, you'll be sworn in, and then you and the plaintiff will each be given the opportunity to state your case. Be honest and respectful. The judge will then rule on the case.
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Tips & Warnings
Arrive early on your assigned court date (allow extra time for passing through metal detectors, waiting for elevators, visiting the restroom, and finding the courtroom in which your case will be heard).
Whatever you do, don't ignore the lawsuit. It won't go away. If you fail to appear in court, a judgment will automatically be entered against you and, depending on your state's laws, your wages may be garnished and/or a lien placed on your property.
