Judgement, now what??

[Regrets]

I live in California (community property). We are filing Chap. 7 as soon as I can pay my attorney (March). Discover got a default judgement against me. They only listed me, and called me an individual. I don't work, but my husband does. I don't know how much of this information is pertinent, but thought I would include it. What is the next thing that will happen to me, and is there a general time frame I can look at this occuring in? Can they come take my car? Will they garnish my husband? I kind of ignored it because I thought it would just go away in the BK. Besides, it is my debt, and I couldn't afford to file a response. So what is next? Will I know if they get a lein on something? What can they put a lein on? I own a house with zero equity, and my firstborn is probably not worth much to anyone else, either.

[All Cash]

Well usually their is a small time period between the judgment and the actually appeal if any, before they act on it.

Once they get a judgment the smart creditors, will do a small asset inquiry, to see if you own a home, vehicles, bank accounts, or any no-exempt property they can seize.

Once they find it usually it's a lien on real estate, or vehicle, It happens but it is rare, they can get a writ to come into your house and take your personal property for auction.

Since you never indicated the judgment amount it's really kind of hard to give you specifics.

[Regrets]

$7,000 is the amount of the judgement. My car is worth about $4,000, maybe. Thank you for taking the time to answer. I searched, and there is a lot on here about getting to the point of judgement, but not exactly what I was looking for.

[albacore44]

How many months were you late when they got the Judgement ?? I'm in the same situation with discover, wife has card $6k balance, just charged off, have not heard boo from them except a couple of letters. I'm in So. Cal.also,did they use a local law firm to sue ?? I'm filing in January.

[AngelinaCatHub]

Regrets, you got a summons for a hearing. You really should have attended. A Judgment is not pretty.

I got a $1200 judgment against my Mother's ex, after her death he changed Title names and the place was in her divorce papers. So I took a writ of attachment and had his car seized. It was sold at auction. I was the only one who bid on it. I won the sale and the car was worth $6500 Kelly BB. It only satisfied $8 of the Judgment and I could go back again, and again. I would not though as I got my "pound of flesh".

You need to take action very soon. March is too far away and even a small claim judgment as mine was, can harm you.

Not trying to make you feel bad, but you could have held them off by attending and denying the amount or asking for a full accounting. It would have bought you some time.

Even if you have to file pro se, purchase the Chapter 7 book from Nolo Press at nolo.com. A pdf download and very worth while.

The Judgment can be put aside in bk but at extra trouble. 'Hub

[AngelinaCatHub]

Hey Albacore, quit 'turning me on' with your sexy Avitars. 'Hub

[Regrets]

I'm scared now. I have to wait for our income to lower. It is too high because there was a lot of overtime available this summer. We will get thrown out.

[Regrets]

How many months were you late when they got the Judgement ?? I'm in the same situation with discover, wife has card $6k balance, just charged off, have not heard boo from them except a couple of letters. I'm in So. Cal.also,did they use a local law firm to sue ?? I'm filing in January.

They charged off after 90 days. Filed their lawsuit two months later, in January of 2009. Got a default judgement the end of September 2009. I have an appointment with my attorney next Monday. I have to wait until I get my tax return to pay her. There is no other way. I also have to wait for our income to go down.

[albacore44]

They charged off after 90 days. Filed their lawsuit two months later, in January of 2009. Got a default judgement the end of September 2009. I have an appointment with my attorney next Monday. I have to wait until I get my tax return to pay her. There is no other way. I also have to wait for our income to go down.

wow.......charged off after 90 days ?? have not heard of that, its usually 180 days. it did take them some time to get that default judgement though. what court/district ??

[treehugger1]

I don't think a pre-180 chargeoff is as unusual as it may have been in the past. A friend of mine also had a Discover chargeoff before 180 days. They wasted no time initiating a suit through Mann-Bracken. He had nearly perfect credit and a real asset. However, he is probably upside down on his house by $20k - $30k and unemployed. I think it is sometimes the case that some OC's go for the suit and get a lien established.

[albacore44]

Ahh ha, got my collections notice on the Discover card today. they assigned it to Encore Receivables. thats good. Already had them on another card. sent them a DV and they went to sleep.

Also got a letter from Client Services for a Chase card. they now have 4 of my accounts. Ohh well 2 more DV's for the pile

At least i know where all these accounts are, just got to keep them at bay for another 2 1/2 months.

[treehugger1]

By now, you can probably do 2 1/2 months in your sleep. Wow, your latest picture makes me crave to be a 20-year-old again. Hot!

[Regrets]

To the OP once they obtain a judgment they can move along swiftly if they know specifically what they are looking for in the way of assets and where they are (bank accounts). Firstly they shoot for bank accounts and then owned property like your house (lien), then wages (you mentioned a community property state) if they find your husbands job they may attempt a garnishment of his wages.

If you have EVER used your bank account to make a payment to them you need to close that bank account yesterday and open a new bank account and keep only a small amount in it at any given time. Search on here for how to live without a bank account.

As for the car you need to look up or search on here for posts by me for "black book" you need the black book value, it is the amount the car would sell for right now this minute at an auction or how much a corner car lot would pay you for the car if you drove on the lot and said I need cash right now, how much will you give me. That is "black book" value. Now the next thing is exemptions, you need to locate and find your states exemptions. I am sure the car will be under or almost at the exemption amount so really it won't be an issue. No one is going to take the car for < $1000 in equity.

You need to make sure they have your address so you are notified of any future actions. They need to go to court to garnish wages or seize property you want to go to any of these court proceedings. It is up to you to request a lower amount for a wage garnishment and it is often granted. You need to show up if they want to seize property like your car etc. It is up to you to show your exemptions to the court. Also you can send them a certified letter listing your exemptions so if the attempt to take them you can counter sue for damages if they do take them since they were put on notice they are exempt. You need to locate the California code on exemptions.

Anyways, you can always vacate the judgment during BK it is not a big deal.

Thank you for that. It was REALLY helpful. I basically wanted to know if they could show up like today and take my car, or if they could already have a wage garnishment order or anything. I already have a new checking account, and I will get on the rest.

[treehugger1]

In some states, you may get notified after 20 days have past since the garnishment was ordered. In other words, the garishment can be put into effect, but the garnishor has 20 days to send a copy of the order/writ to you. If you are paid every two weeks, you might not see it coming.

You can check the case down at yoru courthouse and see if a writ of garnishment was entered in the case. This would serve as a head's-up.

[junker]

they have probably already done a asset search on you, and know you have a house. so you can expect a abstract lien filed shortly, mine happened with in 2 months of getting my judgement. when you DO contact a lawyer..make sure to ask if judgement/lien removal is included in his normal bk fees...most say no...so figure AT LEAST 300 extra to remove lien...the other issue is since you are not filing until at least march...liens perfected at least 90 days before start of bankruptcy remain in effect....there have been posters here that were surprised to find they still had liens AFTER bk...you have to make sure lawyer files motion to dismiss/remove lien DURING the bk process...otherwise it will just cost MORE to get case re opened...the court where you live...and that will have the abstract judgement...HAS to have something from the bk court showing dismissal...let us know what your lawyer says about extra costs of removing a judgement/lien....