Served by Citibank

[rhp]

I received a "Certificate of Compulsory Arbitration" from citibank, regarding credit card debt. I ignored it so far, and the time to respond will expire in one week. The advice I got from an attorney was that it wouldn't matter if I plan to file for Ch 7 whether I respond or not. And that the judgment would go away with the BK.

Was that good advice? Should I be responding? And if so, how?

My other question is, how long until they get a judgment and the ability to try to collect on it if I don't respond? And can they take my car if they get this judgment? I own it outright; my only asset. No wages to garnish, no bank accounts to attach.

Just trying to see if I need to rush this BK, or if it can wait a little longer.

Thanks for the help!

[blockhead]

File an answer with the court - I cannot affirm or deny - there are threads here with correct language. That'll give you a few months.

[rhp]

File an answer with the court - I cannot affirm or deny - there are threads here with correct language. That'll give you a few months.

Thank you. Can someone point me a sample reply? I've been searching around and want to get this thing right.

Do I just write a letter with an answer to each paragraph and send a copy to the court and the other party's lawyer? Are there other forms involved?

Thanks. Sorry, I'm just missing something here.

[rhp]

I have this form from the court:
superiorcourt.maricopa.gov/sscDocs/pdf/gn10f.pdf
Blank Pleading/Motion and Order

Would my answer go on "Motion" page then? And do nothing with the "Order" page?

[tcreegan]

Hi rhp,

Pleading is for you to explain something
Motion is for you asking the court to do something
Order is the judge deciding what is going to get done

This has some instructions that may help you:

http://www.superiorcourt.maricopa.gov/sscDocs/pdf/gn10f.pdf

This is a flowchart of the process you seem to be in:

http://www.superiorcourt.maricopa.gov/SuperiorCourt/CivilDepartment/docs/arbitCaseFlow.pdf

Hope this helps, but along the lines of your attry, worst-case scenario you get a judgement entered against you and you have to go back after the BK and have it vacated. Best case would be to delay the judgement until you file BK, then the case gets dismissed and you don't have to go back and have it vacated. Less hassle, saves some money

Tom in Colo

[rhp]

Hi rhp,

Pleading is for you to explain something
Motion is for you asking the court to do something
Order is the judge deciding what is going to get done

This has some instructions that may help you:



This is a flowchart of the process you seem to be in:



Hope this helps, but along the lines of your attry, worst-case scenario you get a judgement entered against you and you have to go back after the BK and have it vacated. Best case would be to delay the judgement until you file BK, then the case gets dismissed and you don't have to go back and have it vacated. Less hassle, saves some money

Tom in Colo

Thank you! I get it now.

Bad part is that I had the fees wrong. It will cost $223 to file the answer! Any idea what it would cost to vacate later, if it comes to that?

Maybe I will just try to file ASAP and try to beak the judgment.

[rhp]

I meant "beat" the judgment. Lol.

[rhp]

I'm at the point where Citibank has filed an "Application for Entry of Default." I am definitely going to file a CH 7, but it might be 2-3 weeks out.

If this judgment goes through before I file, can they try to take my car? Like I wrote earlier, it's my only asset and I own it outright.

And are the exemptions the same as in BK? So, they couldn't take the car if it's worth under $5k?

Little stressed about this. Thanks.

[DesdemonaB]

Hi

Can't help with how to answer the summons but I can give you a time line as I was sued by Citibank in Michigan

4.28.2010 the summon and complaint was issued
7.28.2010 the summon and complaint was set to expire - so they had 90 days to find me to serve me - it they couldn't they would have to start all over again
7.2.2010 I was served - I had 21 days to answer the summon and complaint
7.23.2010 a default request, affidavit, entry and judgement (sum certain) was issued
7.26.2010 a certificate of mailing
9.16.2010 a writ of garnishment -Comerica Bank - they tried to garnish my bank account - was issued
10.12.2010 it was received by garnishee - Comerica Bank - This is the bank I used to pay my bill
10.21.2010 garnishee replied - account closed 11.25.2009
9.29.10 a writ of garnishment - My employer - Please note I have been on the same job for 10+ years - it's the only employer listed on my credit report - wasn't that hard to find them
10.25.2010 a writ of garnishment - State of Michigan Treasury - Income Tax Refund/Credit - was issued
10.14.2010 - First garnishment 25% of my pay - 390.00 deducted from my check
10.28.2010 - For some reason the garnishment did not come out of my check
11.11.2010 - Second garnishment 25% of my pay - 390.00 deducted from my check
11.12.2010 - I filled for Ch7
11.17.2010 - Withdrawal of garnishment authorized
11.28.2010 - Withdrawal of garnishment accepted by court - all amounts withheld on or before 10.28.2010 shall be returned
11.24.2010 - Third garnishment 25% of my pay - 390.00 deducted from my check
12.2.2010 - Letter to law firm asking for refund
12.22.2010 - Refund of garnishment #1 back on my payroll check
1.6.2010 - Refund of garnishment #2 back on my payroll check

Re-reading my paperwork I see all issued dates have a 90 day expiration date - so if they can't serve you in 90 days they have to refile, once they get a judgement against you and if they request a writ of garnishment with the court they have 90 days to find an employer, a bank, and petition your state treasury for your state refund (IF GARNISHABLE IN YOUR STATE) and if there is a bank account to garnish, wages to garnish the first garnishment must be within 28 days of receiving the writ.

Please note when I say they have 90 days to find an employer, bank and state treasury that is if they submit to the court a writ of garnishment - the paper work submitted to the court already has the employer, bank and state treasury filled in they already did their research, they followed the $$ trail.

So while I can't help you fight them, at least you can see how fast and who they can request a garnishment from - and this was all for a 4,600 judgement.

Hope I helped

[DesdemonaB]

Sorry - found an error

12.22.2010 refund was for garnishment #2
1.6.2011 refund was for garnishment #3

I was never refunded the first garnishment.

[tcreegan]

Hi rhp,

Usually the state BK exemptions are also the judgment exemptions. And you should have plenty of time, they have to follow AZ repo rules/law...these usually have some wait times built in.

Hang in there!

Tom in Colo

[rhp]

Thanks, Desdemona and Tom! I feel a little more at ease knowing it takes some time.