All-Indiana and Indianapolis Bankruptcy Lawyer
If you have been sued in a collections lawsuit, you need to act quickly. Collections suits are filed in order to collect a debt such as for a credit card, a personal loan, or a medical debt. If you have been sued for collection, you need to make a course of action to resolve the debt. Below are some common resolutions to lawsuits, but, of course, this is only a general discussion for information purposes. You need to consult an attorney immediately if you are seeking legal advice specific to your situation or to discuss how to handle the legal requirements of the case.
This is a “classic” option for handling a lawsuit. Many times a lawsuit party will accept much less than the entire amount to settle the case. Settlements between the 10- 50% amount are not entirely uncommon. If you have access to a lump sum that can settle the case, this option could work for you – unless you are also facing large amounts of other debts.
If you cannot settle the debt, sometimes you can make payments arrangements with the lawsuit party. The proposal for payment arrangements can sometimes discount the entire amount owed. Negotiating discounted interest and a deduction off the entire amount can be a great help in resolving the debt.
This resolution is much more rare: most of the time the debt is clearly owed and not disputed. If you dispute the amount of the debt, you can fight the validity of the charges. Remember, that you only have a short time to answer the lawsuit. You will need to make a strategy immediately with an attorney if you desire to fight the lawsuit.
If you have a substantial amount of debt, you may want to consider filing for Chapter 7 or Chapter 13 bankruptcy. Bankruptcy is designed for people who are “insolvent.” This basically means that you cannot pay your debt bills. Either your current budget is impossible or you will not be able to pay off your debts in the foreseeable future – these are the situations where you may want to consider bankruptcy. Bankruptcy is usually the most powerful and cost-effective way of dealing with large debts. If you need bankruptcy relief, do not hesitate from contacting our office right away.
Fill out the form below or Call (317) 769-2244 Today!