In a perfect world, you always have the money to meet your obligations on time. However, life happens and anyone can find themselves behind. In extreme cases, this hardship might even lead to a judgment being placed against you. Learning that you have had a judgment issued against you can lead to more questions and only heighten your stress load. Knowing what to do in this situation is vital.
What Does it Mean?
You first need to understand what a judgment is. In short, this is a legal order against you by a creditor. When other methods of collection have failed, some creditors can go to the court and seek this order as a way to force you to settle the debt. Once the order is in place, the creditor can use more aggressive measures to collect the money that you legally owe them.
How Does Collection Work?
The next thing to understand is how collection works. Unfortunately, the answer is that it often varies since the specifics of the judgment vary from case to case since judges can use some discretion. However, generally, collection comes in the form of garnishment. With this process, the courts will deduct a preset percentage from your paycheck before you receive it and this process will continue until the debt is satisfied.
Can it Be Removed?
If you have a judgment against you, you're probably wondering whether or not you can have it removed. Fortunately, the answer is yes, but understand that it's not always an easy process. First, you need to file an appeal disputing a specific aspect of the judgment, such as the total amount due or proper notification of the debt. If you can prove your discrepancy, the debt itself won't be tossed out, but you can at least get the judgment removed.
Does it Affect the Future?
It's also important to understand that a judgment can affect your future. This is true in both the short and long-term and even after the debt has been satisfied. Judgments stay on your credit profile for several years. Not only can they affect your ability to get access to credit, they can even have an impact on your ability to gain employment if the role requires a financial or background investigation.
If you are facing the possibility of a judgment or have had a judgement ordered against you, speaking to an attorney can be especially helpful. An attorney like Stuart J Sinsheimer can help you understand the order and help you learn how to proceed forward.