why you need a debt defense lawyer for your case

If you’re facing a credit card lawsuit or a creditor is suing you for non-payment, you may need to hire a debt collection defense attorney. Whether you should do so depends on whether the creditor has a strong case, how much defending the lawsuit will cost and whether you can pay the debt.

Full Answer

Why do I need a debt lawyer?

A default judgment results in the same outcomes as if you were to lose your case outright. It’s extremely important that you contact an attorney as soon as you discover that you are being sued over a debt. Our firm’s sole focus is debt defense. We have the knowledge and experience to help you take on your creditors. If you are being sued over a debt, contact us at 888.668.9071 or fill …

What is a defense to a creditor?

Working with a debt settlement attorney can help you prioritize the repayment of your debts. Once organized, you will be on the road to financial freedom and find that you’ve finally taken control of your spending habits. We can help you to create a budgeting plan that works to sustain your income level while paying off your unsecured debts. Our clients can lead lives that are free …

Do I need a lawyer to settle a creditor's case?

Nov 25, 2019 · Most debt lawyers who represent defendants are in it for ideological reasons – this is a type of law where the lawyers choose sides and pretty much stay on them. And as you should know, it pays much, much better to be on the side of big rich corporations than it does to represent the people they’re after.

What are some defenses to a debt buyer lawsuit?

Mar 24, 2020 · Attorney Erik Kardatzke is a Miami consumer lawyer dedicated to defending individuals against credit card companies, debt collectors and their attorneys. Erik Kardatzke and Debt Defense Law will step in at any point in your case for a free consultation to find out how to help YOU–in or out of court. Even if you’ve already had your wages garnished, received a …

Are credit lawyers worth it?

In almost all cases, it's better to hire a reputable attorney rather than a debt settlement company if you want help negotiating a debt settlement. And, in some cases, you might be better off settling the debts on your own.

How do you defend against a debt collector?

7 Ways To Defend a Debt Collection LawsuitRespond to the Lawsuit or Debt Claim. ... Challenge the Company's Legal Right to Sue. ... Push Back on Burden of Proof. ... Point to the Statute of Limitations. ... Hire Your Own Attorney. ... File a Countersuit if the Creditor Overstepped Regulations. ... File a Petition of Bankruptcy.Jul 4, 2019

Is it better to settle with creditors?

It is always better to pay off your debt in full if possible. While settling an account won't damage your credit as much as not paying at all, a status of "settled" on your credit report is still considered negative.Apr 16, 2021

What does a debt collector have to prove in court?

The creditor has to prove who the borrower is These include: Where there is a dispute as to the identity of the borrower or hirer or as to the amount of the debt, it is for the firm (and not the customer) to establish, as the case may be, that the customer is the correct person in relation to the debt.Mar 18, 2019

Can you go to jail for debt?

In almost all cases, the answer to this is no. More than a century ago, prison was a real risk for many types of ordinary household debt. In modern times, there's no possible way you could go to prison for non-payment of most types of debt.

How much will debt collectors settle for?

10% to 50%Typical debt settlement offers range from 10% to 50% of what you owe. The longer you allow debt to go unpaid, the greater your risk of being sued. Creditors are under no obligation to reduce your debt, even if you are working with a reputable debt settlement company.

What percentage of a debt is typically accepted in a settlement?

30% to 80%The percentage of a debt typically accepted in a settlement is 30% to 80%. This percentage fluctuates due to several factors, including the debt holder's financial situation and cash on hand, the age of the debt, and the creditor in question.Apr 15, 2020

What percentage should I offer to settle debt?

Offer a specific dollar amount that is roughly 30% of your outstanding account balance. The lender will probably counter with a higher percentage or dollar amount. If anything above 50% is suggested, consider trying to settle with a different creditor or simply put the money in savings to help pay future monthly bills.

Can A Debt Lawyer Help My Court Case?

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What Can A Debt Lawyer Do For Me If I File For Bankruptcy?

A debt lawyer is almost mandatory when filing for bankruptcy.A debt lawyer who specializes in bankruptcy can explain the differences between Chapte...

How Much Does It Cost to Hire A Debt Lawyer?

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When You Should Hire A Lawyer

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Is Hiring An Attorney Worth It?

Lawyers cost money, so it is wise to consider whether retaining one in a debt case is worth the cost. Face it, you already have financial problems,...

What to Expect from A Lawyer

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What happens if you are sued by a debt collector?

If you are being sued by a debt collector, FIGHT BACK and you may save thousands. A money judgment is likely to be followed by a garnishment of your wages (up to 25%.)

Who is Erik Kardatzke?

Are you facing a lawsuit from a debt collector or credit card company? Attorney Erik Kardatzke is a Miami consumer lawyer dedicated to defending individuals against credit card companies, debt collectors and their attorneys. Erik Kardatzke and Debt Defense Law will step in at any point in your case for a free consultation to find out how to help YOU–in or out of court. Even if you’ve already had your wages garnished, received a default judgment, received a summons, or missed your court date in a debt collection lawsuit–call us to find out how we can help.

What is a defense in a lawsuit?

A defense is a reason why you aren't liable for the debt or a reason why the creditor shouldn't be allowed to collect the debt. Here are some common defenses to creditor suits: the statute of limitations (the time period in which the creditor must bring the lawsuit) has run.

What to do when a creditor sues you for debt?

When a creditor sues you to collect debt you haven't paid, you have three choices to deal with the lawsuit: allow the creditor to obtain a judgment against you (called a "default judgment") defend the lawsuit yourself, or. hire an attorney to represent you in the lawsuit. Which option is best for you will depend on a number of factors.

What is a counterclaim?

A counterclaim is a claim that you have against the creditor. In most states, the counterclaim must relate to the transaction at issue in the creditor's lawsuit. For example, say the creditor sues you for nonpayment of a credit card debt.

What happens if you don't have a defense?

If you don't have a defense or counterclaim and the creditor can easily prove its case, then you'll lose. You'll then owe the judgment amount, have to pay your own attorney, and might have pay the creditor's attorneys' fees too. (In some types of cases, the losing party has to pay the other side's attorneys' fees).

Can a lawsuit grow if a creditor gets a judgment against you?

But keep in mind that a lawsuit for a relatively small amount can grow if the creditor gets a judgment against you. The creditor will ask the court to include not only the debt balance, but the amount of the creditor's attorneys' fees, court costs, and interest.

Can you hire an attorney to defend a lawsuit?

Even if you have a good defense to the lawsuit, you'll want to consider the amount of the debt before hiring an attorney. Attorneys' fees can add up quickly. If you hire a lawyer to defend a lawsuit over a small debt, you might end up owing more in attorneys' fees than you would if you chose not to defend the suit.

Can you keep your retirement account in bankruptcy?

If bankruptcy might be inevitable, think twice before using retirement funds to pay bills. Most people can keep their retirement account in bankruptcy.

Why do debt buyers not know when to pay their debt?

Because many debt buyers purchase debts "as is" from original creditors, they don't know if the original creditor properly credited your payments. They also might not have your billing statements or documents demonstrating when you incurred the debt.

What happens if a debt buyer sues you?

If a debt buyer sues you for collection of a debt, there are a number of defenses you may be able to use to challenge the debt buyer's right to collect on the debt. Here are some of the most common defenses to a debt buyer lawsuit.

What is a cardmember agreement?

Cardmember agreements have information about which state law applies to the case and how much the debt buyer can collect in interest and attorneys' fees. Often a debt buyer does not have this paperwork, and might never be able to get it from the original creditor.

What is the paperwork required to buy a credit card?

In many states, a debt buyer must have paperwork demonstrating the agreement between you and the original creditor in order to sue you or to add interest or attorneys' fees onto the balance. For credit card debts, this paperwork is often in the form of a cardmember agreement. Cardmember agreements have information about which state law applies to the case and how much the debt buyer can collect in interest and attorneys' fees.

What does standing to sue mean?

No Standing to Sue. "Standing" means a person or business has a legal interest in a case. In collection suits, it means a debt buyer must prove that it legally owns your debt.

What happens after the statute of limitation passes?

After the time limit passes, the law bars the legal claim. The applicable time period to collect on a debt varies by state. Determining what the statute of limitation is in your case can be complex for several reasons. It can be tricky to figure out which state law governs.

What is statute of limitations?

The statute of limitations is the time period that a party has to bring a legal claim. After the time limit passes, the law bars the legal claim. The applicable time period to collect on a debt varies by state.

What is a debt collection lawsuit?

A debt collection lawsuit begins when the collection agency files a “complaint” (sometimes called a “petition”) in court. The complaint will explain why the collector is suing you and what it wants—usually, repayment of money you owe, plus interest, fees, and costs.

What is discovery in a lawsuit?

“ Discovery ” refers to the formal procedures that parties in a lawsuit use to get information and documents from each other to prepare for trial or settle the case. If you don’t raise any defenses or counterclaims, the collector probably won’t engage in discovery. But if you have a good defense or file a counterclaim, you and the collector might want to participate in discovery.

How long does it take to file a lawsuit?

Generally, you’ll get around 20 to 30 days to file a written answer to the lawsuit with the court. You’ll have to respond to the allegations in the complaint and raise any defenses you have, like that the statute of limitations (the law that sets a time limit on the right to file a lawsuit) has expired, or counterclaims against the collector, such as violations of the Fair Debt Collection Practices Act.

How to challenge summary judgment?

To challenge a summary judgment motion, you’ll have to file paperwork opposing the motion. If you don’t, you’ll probably lose. Because the outcome of the lawsuit is at stake, you should seriously consider consulting with a lawyer, if you haven't already, if the collector files this kind of motion.

What happens if a collector grants a motion?

If the judge grants the motion, the court will enter a judgment against you without a trial.

What happens if a collector gets a judgment against you?

Once the collector gets a money judgment against you, you might face wage garnishment, a bank account levy, or a lien on your property.

What happens if a collector files a summary judgment?

If the judge grants the motion, the court will enter a judgment against you without a trial.