Legal Question in Credit and Debt Law in Texas

Most people in Texas are "judgment proof," which means that they don't have any non-exempt property (property that can legally be seized to satisfy a judgment). This means that you may be �served� with a writ of execution, but the Sheriff will return it to court �nulla bona� (no good). In other words, he won�t seize any of your property because it�s all exempt.

By the way, it will be a scary experience when the sheriff shows up at your front door. Try not to be too worried. You don't own any non-homestead real estate, you don't own 6 cars, and you probably don't have anything that he can levy on.

The plaintiffs in judgment can garnish your bank account if they know where you bank and they believe that you have sufficient funds on deposit. The filing fee for a garnishment is around $300.00; they don't want to hit your bank with a garnishment if you have only $55 in the bank.

Again, don't worry about this too much. Don't keep large amounts of money in a bank account under your name. Change banks (for your checking account) about once a year.

The creditor in judgment will spend about $20 and record an abstract of judgment in the county where you live. This creates a lien on any non-exempt property you own (and you probably DON�T own any); it doesn�t affect your homestead.

99% of all Texans do NOT need to worry if they have a judgment against them. Bill collectors collect their money because of the debtor�s fear of the unknown; they �scare� the money out of you.