Debt Defense in Hidalgo County: What Happens After You’re Sued by a Debt Collector?

Opening your front door to a process server is one of the most stressful things you can experience. When debt collectors fail to secure payment in other ways, they may move on to legal means: filing a lawsuit so they can prove their case in court and force payment. When you’re sued for a past-due debt, it is crucial to reach out to a debt defense lawyer to figure out your options and limit the damage.

That’s where the team at Garza Law Office, PLLC steps in to help. Attorney Dora Alicia Garza has a long track record of successful debt defense cases. She knows how debt can derail your plans and financial stability, which is why she fights aggressively for her clients. Call 956-329-1304 to set up a consultation now.

What Happens Before a Lawsuit?

For most people, debt lawsuits don’t come as a complete surprise. In most cases, the debtor has known about the debt for years or even months. They may have received multiple phone calls from the debt collector or even made some payments before running into financial issues.

Generally, debt collectors do attempt to settle a debt before proceeding with a lawsuit. They may demand full payment or offer to settle the debt for less than you owe. If they are unable to contact a debtor or their efforts to secure payment fail, that is typically when they proceed with a lawsuit.

Responding to the Lawsuit

Our team of Texas debt defense attorneys can help you respond to a lawsuit immediately and avoid a default judgment against you. You’ll be served with a summons and complaint. These documents include the amount that the debt collector is suing you for. It likely includes the original debt amount, any accrued interest, and possibly legal fees associated with the collector’s lawsuit. It should also tell you the interest rate that applies to the debt. The deadline to respond depends on whether the claim was filed in justice court or district court. For a case filed in justice court, your response is due by the end of the 14th day after the date of service. If that falls on a weekend or holiday, the due date moves to the next regular day. If your case is being heard in county or district court, calculate the date that falls 20 days after the date of service. Your response is due by 10:00 a.m. on the first Monday after that date..

Drafting a response to a debt lawsuit involves answering each component of the complaint. Writing an accurate and thorough response is key, which is why we recommend connecting with a debt defense law firm. You have three options when responding to the issues in a complaint. You can admit a claim is true, deny that it is true, or deny due to lack of knowledge. Your attorney may deny everything, as this puts the onus on the debt collector to prove that all of their claims are true. In addition, your debt defense lawyer may assert affirmative defenses to try to get the case dismissed. For example, common defenses include the expiration of the statute of limitations, the debt has been written off already, or the account in question is not yours.

Possible Outcomes

The court will decide either in favor of the debt collector or you. If they decide in the collector’s favor, you will be responsible for paying the amount listed in the lawsuit. If they decide in your favor, you do not have to pay anything.

Should the court decide against you, the debt collector can attempt to collect on the judgment in several different ways. If you do not pay voluntarily, they may use a writ of execution to seize and sell your non-exempt property to satisfy the debt. The creditor can also place a lien on your property, which prevents you from selling it until the judgment is paid off. They can even garnish part of your wages until the judgment is paid off.

Clearly, a judgment against you can dramatically impact your financial stability. This is why retaining a debt defense attorney early on is so important. Being proactive about the lawsuit against you may help you avoid the worst possible outcomes.

Reach Out to Garza Law Office, PLLC to Discuss Your Next Steps

If you’ve been served and you’re facing a lawsuit over an old debt, we can help. Call our debt defense law firm at 956-329-1304 or contact us online to set up a confidential consultation.

Dora Alicia Garza

Dora Alicia Garza is a seasoned attorney based in Texas and the Founder of Garza Law Office, PLLC. She has built a respected practice across multiple areas of law, including criminal defense, family law, personal injury, guardianships & wills, estate planning & probate, immigration, debt defense and juvenile law. Learn more here.