What Should I Do If I Have a Judgment Filed Against Me in Norwich?

Should I file for Bankruptcy in Norwich if I’m being sued?

Norwich bankruptcy lawyer can help save your home

Has a lien been placed on your home?

The only way you can be hit with a judgment is if a creditor has filed a formal lawsuit. If a lawsuit is filed, a notice will be sent to you. Once this notification has been received, it becomes imperative that you seek the services of a reputable Norwich bankruptcy lawyer.

Keep in mind that if you take no action once a lawsuit is filed, more than likely the creditor will then go a step further in securing a judgment.

What most people do not realize is that a creditor can collect on a judgment over a 10- to 20-year span, which means having that debt hanging over your head for a long time.

With a judgment, a creditor can collect on money owed in several ways using the services of the local sheriff’s department. One of the most common is having your wages garnished. In this situation, a specified amount of money is withheld from each paycheck. However, there is also the risk of your bank account being frozen or other assets locked.

As Norwich bankruptcy attorney Laura Harris-Courage can explain, once a judgment is ordered against you, an automatic lien is placed on your home, as well as any other real property, such as land or additional structures. Therefore, to sell physical property, you would first be required to pay the lien in full.

Unfortunately, if the amount of the lien were to push the home past its actual value, selling may not even be an option.

For instance, if the home’s value is $120,000, but a lien adds on $30,000, selling will probably not be a viable option. On the other hand, if there is available equity in the home to satisfy the judgment, the creditor can have the sheriff’s department sell your property in order to collect the money due.

If you are currently facing this kind of situation, you need someone on your side.

Now, bankruptcy alone will not eliminate the judgment lien, but certain action can be filed with the court to have it wiped out completely. As expected, there is an additional legal fee for this type of service, but in exchange for removing a lien from your home, land, or other structure, it is well worth it.

The last thing you want to do is nothing.

Call our office today for a free consultation and get back on the path to financial stability. (607) 336-2477

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