i'm being sued by an attorney for unsecured debt (credit cards) that I opened about 3 or 4 years back. i couldn't pay on it anymore when i lost my job and also had to drop out of school. is there any way possible for me to get the case dismissed/win on court date? i don't have an income. i currently live with my parents whom are also below the poverty line (we live in housing) how should I handle this? thanks for the help, this is my first time dealing with anything like this.
The best advice I can give you is to be certain to answer the complaint within the 20 days after the summons and complaint were served upon you. If you can in good faith deny key allegations, you need to do this and then a default judgment will not be entered against you.
The collection attorneys will likely send you "interrogatories" and "requests for production of documents", and you have a right to send them the same. Demand a copy of the initial loan application as well as all amendments and documents upon which each present charge, fee and other item they now claim is due. They must provide this.
If you have a lot of these, this is the type of debt that is discharged in a chapter 7 bankruptcy. Consult with an experienced Massachusetts bankruptcy attorney.
Here's an article on bankruptcy basics:
Consider speaking with your local legal aid office to see if you qualify for free legal representation. But I agree with the other attorney. Answer the case so as to avoid getting a default judgment against you.
No, you are not going to be able to get this case dismissed. As the other attorneys advised, answer the complaint within the 20 day time period. After that, a case management conference will be scheduled. You must attend this court date. The goal is to settle with the other side for a lower amount than is demanded in the complaint. For example, settle with them for 50% of the total amount demanded. You will pay them half of what you owe them, and the case will be reported as settled and it will be over.
Because you are not in a great financial situation, you should write a financial hardship letter that outlines your financial situation, why you stopped paying, and why they should accept less money from you than they are actually owed. They will also ask you to fill out a financial statement. They'll review your letter and financial statement and hopefully agree to take less from you than they're owed.
After your case management conference, a pre trial conference will be scheduled. Try to settle with the other side before the pre trial conference so you can avoid having to go to court a second time. If that doesn't happen, a trial date will be set and you'll then want to try and settle with them before the trial date. Creditors would rather have money in their pocket, even if it's less than they're owed, than a judgment against you for the full amount you owe. They know they'll probably never collect on the judgment. I highly suggest you consult a lawyer to assist you with this process. Good luck.
