Being Sued For Debt
If you’re being sued for debt you really must speak to a lawyer immediately. You must learn your rights so you can get the best outcome possible from a very difficult situation. What does being sued for debt really mean though?
If your debt is secured, meaning there is some sort of asset tied to the debt, like a car, house or boat, then the creditor can sue you for how much that asset is worth or in fact sue you for the secured item and in some cases will sue you for both. In the case of unsecured debt, meaning there was no asset to speak of tied to the debt, the creditor will begin by suing you for the outstanding moneys you owe.
Debts and Summons
Every country and state will have different laws on exactly what process is followed when it comes to being summonsed to court. You should familiarise yourself thoroughly with your local Government’s laws and the rights they set out for you. Being sued for debt can indeed be very stressful but this can be made much worse if you go along blindly not understanding things.
If your debt is small, for example around $5000 then you might be asked to appear in a small claims court, in this case you would not be represented by a lawyer but you should get advice from a lawyer before you attend. If the debt is more significant you will be summonsed to a higher court where you should seek professional help to represent you.
Being Sued For Debt Must Not Be Ignored
In any case, being sued for debt is something that you can’t ignore. You should take your creditors letters and any summons request very seriously, it will not go away and will only get worse if you choose not to communicate and or not turn up to your court appearance date. Speak with a financial advisor and legal representative as soon as possible to ensure you get the best outcome possible.
