Receiving a lawsuit from a third-party collection agency is common for people who are in debt with credit cards, car deficiency balances, and personal loans. You might not have thought that a small credit card bill of $2,000.00 could become a debt of $10,000.00 or more. This can happen because creditors and the collection agency assignees of the debt add interest, attorney fees, late fees, etc. Some people discard the lawsuit documents or ignore being served with a lawsuit, but that does not make the debt go away.
A lawsuit can turn into a judgment which later can get turned into a garnishment or a lien against your home or other real property. The longer you wait, the more your options disappear, and the more problems will arise. One way to avoid debt collection from these lawsuits and judgments is to file bankruptcy. However, not all debts can be discharged in bankruptcy. Some examples of debts that cannot be discharged are child support, alimony, and debts incurred through fraud.
A bankruptcy attorney is able to determine whether or not a bankruptcy will benefit you regarding the lawsuit or the judgment you have on your record.
For more information on bankruptcy and how it might help stop a lawsuit, I recommend consulting a qualified Fort Worth bankruptcy attorney. As an experienced and dedicated Fort Worth bankruptcy attorney, I can offer advice on how to proceed based on your specific situation. You and I can meet face to face to discuss your options. I look forward to helping you become debt free. To schedule a FREE consultation, please contact me at (817) 732-7590 or (972) 819-3861. You can also send me an E-mail or complete the Free Case Evaluation.,