Legal Question in Credit and Debt Law in Texas

Re: Being Sued for Credit Card Collection.

The credit card company may obtain a judgment against you which, after it is recorded, will eventually show up on your credit report. What they can actually collect, however, is a different matter. There is no garnishment of wages in Texas. [exceptions being the federal govt for IRS, student loans and child support] Also, the debtor exemption laws in Texas are very generous. In general, it is difficult to collect a debt from an ordinary consumer who does not have significant assets. Homestead is exempt. They can, however, after a judgment is obtained, garnish a bank account. Your best course of action, in my opinion, is to retain counsel to file an answer for you and to negotiate some type of settlement.