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How to Defend a Debt Collection Lawsuit

3 min read

People don’t want to deal with lawsuit calls and emails from debt collectors. Such instances are more common than one can realize. Surveys suggest that more than 75% of Americans have dealt with debt collection lawsuits and associated harassment calls. The kind of language some collection agencies use can trigger fear, hence the tendency to avoid such instances. When one is served with a Midland Credit Management lawsuit paper, it is essential to understand one’s rights and the steps that are necessary to undertake.

Respond to the lawsuit claim

Several borrowers need to respond to the lawsuit notice, usually in the form of a court summons. When one owes a debt and doesn’t pay it, the debt collection agency can file a default judgment, paving ways to collect the debt amount while abiding by state and federal laws. The worst-case scenario is that the debt amount also increases with court fees, attorney payments, and interest on the balance. There are scenarios when the credit can be doubled or more because of additional expenses. Thus, it is necessary to respond to debt collection lawsuits.

Hiring a professional attorney

This is the essential step that needs to be considered when one is served with a Midland Credit Management lawsuit. When a person is faced with debt, he/she is already burdened with legal expenses, and additional expenditure might sound like a bad idea. But hiring an attorney helps one understand all the options available to defend against a debt collection lawsuit. An attorney can give an unemotional and helpful perspective to the whole case. Furthermore, an attorney can say whether options can be pursued.

Challenge the lawsuit

One of the ways to respond to a debt lawsuit is to challenge the plaintiff’s right to sue. When the debt reaches this instance, it might have been sold multiple times. The establishment that owns the debt and tries to pursue a lawsuit must legally showcase proof that it has the right to do so. The one sued with the lawsuit must respond, or the silence will be considered an admission of debt responsibility in the court.

To challenge the lawsuit, the plaintiff needs to provide documentation in writing to the court.

  • The signed credit agreement
  • Original creditor documentation and paperwork

If the plaintiff fails to offer the documentation, it might not have the standing to serve the lawsuit, and the judge will dismiss it.

Conclusion

Whatever decisions are taken to defend against a Midland Credit Management lawsuit, one’s financial history is taken seriously. One needs to keep an eye on his/her credit score and understand how the debt collection lawsuit can impact. The collection agencies have specialized debt collection harassment lawyers meant to spark tension and fear in borrowers’ minds. Responding to the legal court summons and challenging the lawsuit with the help of a competent lawyer, is highly recommended. People lose their calm and peace of mind when dealing with debt collection agencies. Thus, it is better to consider hiring a legal expert.

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