What should i do if i am being sued by a creditor while trying to repair my credit score?

Talk to an attorney It's always wise to seek legal representation when someone is suing you. Depending on where you live, for example, a lender may not be legally authorized to collect a debt after a certain period, which can range from three to 20 years. If you are going to challenge the lawsuit, make sure you have proof of your claims. For example, when a debt collection agency contacts you for the first time regarding a debt, it must provide you with a debt validation letter within five days.

In addition, they are required to verify the debt if you impute it within 30 days of the first contact. Finally, if you're not sure if you can earn, but you have limited wages and assets, provide documentation to prove it, as the court may prevent the agency from garnishing your salary or freezing your bank accounts. If a debt collector sues you, you must respond to the demand. You can respond in person or through an attorney, but you must do so before the date specified in court documents.

If you don't pay your credit card debt, you could be sued by the credit card company or by a debt collection agency. And if you lose the lawsuit, it could result in a judgment that includes liens on your property or the garnishment of your wages. A judgment will likely appear on your credit report and could make it difficult to obtain credit in the future. A credit card company can agree to drop a lawsuit if the debtor enrolls in a debt management plan and receives credit counseling.

Start by monitoring your credit regularly and considering the areas of your credit reports that you can address. Consider using a not-for-profit credit counseling agency like InCharge Debt Solutions if you have problems with credit cards. This can include paying credit card balances, catching up on other overdue accounts, contesting inaccurate credit information, and more.

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