Legal Question in Credit and Debt Law in Texas

Credit Card Debt Lawsuit

I am being sued by Discover for $3500 that I can not pay - debt charged off in 4/07 and lawsuit filed in 8/07 - mediation is set for early Nov. in Texas. I have only one asset, my car, make $27,000 this year, and am a single parent with 2 kids living in an apt. If I don't go to mediation and a judgment is done, can I be forced by the court to later give out my bank info,etc.? I do not want to give out that type of info for fear of being harassed and my bank account frozen so I can't pay bills. What typically happens after a default judgement is made? I honestly can pay no more than $10 a month and fear that the judge will order me to pay more. I also don't want to give out info prematurely at mediation that the plaintiff will use against me.


Asked on 10/16/07, 8:23 pm

1 Answer from Attorneys
TC Langford Langford Law Office

Re: Credit Card Debt Lawsuit

Mediation is not a discovery process, exactly. It is intended to function as a means of voluntary settlement. There are discovery processes, though, both before and after judgment, that will require you to disclose banking information.

It sounds (no way to know for sure with this information) as if you might be judgment-proof. Which means that you have no assets which can be attached if they take a judgment and execute it. Be aware however, that if you come into excess funds by improving your life later, then you are looking at paying the judgment plus accumulated interest (it can stay alive for 20 years).

A bank account IS accessible by a judgment (although your paycheck is not -- UNLESS it is deposited into your bank). If you want to protect this information and your account, it would be wise to try to settle this claim. (I really recommend that you hire a lawyer versed in these types of lawsuits, but realize that if you could afford to pay a lawyer, you would have paid the credit card).

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Answered on 10/16/07, 9:55 pm


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