I quess i dont understand if you stop payind a cc and they take it to court and win a judgement what happens then if a person still has no money to pay them what happens?
I quess i dont understand if you stop payind a cc and they take it to court and win a judgement what happens then if a person still has no money to pay them what happens?
The judgement may sit untouched for several years. Or they may file a garnishment suit, which is a hassle and takes time and money. So if it's a 3rd party junk debt collector, and that judgement is attached to your house, and now your house is heading towards foreclosure, they will see if a default is filed and then scramble to get in line with everyone else including your lender, 2nd, HOA or whoever. They are pretty much bottom on the food chain. So if you are severely underwater and there is no hope of them getting paid, they may approach again to work out some settlement, like offerering to take 10% or so. If they do, and you accept, make sure you get it in writing that it's settled and have the judgement removed from your credit report.
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