How to Handle a Collection Lawsuit in Georgia
Have you been surprised by a lawsuit due to debt?
Being served with a lawsuit can be stressful and confusing if you aren’t well-informed on the options available to you under the law.
It is important to understand that under Georgia state law, you have up to 30 days from the day you receive the collection lawsuit to submit a written response to the court. It is important that you act quickly because this is a limited window of time.
If you fail to submit a written response within 30 days the court can enter a default judgment against you. Once creditors get this default judgment they are legally able to garnish your wages and/or bank account, take your assets and put a property lien in place.
How Filing for Bankruptcy Can Help
It is important that if you have been served with a lawsuit that you meet with a bankruptcy attorney as soon possible – even before you send a written notice to the courts.
There are cases where it may be best to file a response and deal with the matter through the court system. In the event that you are not able to pay the debt, it is helpful for you to be aware of all of your bankruptcy options prior to making any final decisions.
In the bankruptcy timeline, as soon as your bankruptcy claim is filed with the court, an order is entered that stops all collections practices. This means there will be no more calls, bills or lawsuits filed. All of this is eliminated through the bankruptcy process.
Even if you did not respond to your lawsuit immediately and default judgment has been filed against you, we can still help.
Filing for bankruptcy can void the default judgment filed. It will also eliminate your underlying debt.