If you have been served with a lawsuit because of your credit card debt in Florida, you are not alone. Due to the increase in credit card debt defaults over the last four or five years, many credit card companies and debt collectors are turning to the court system in an attempt to collect their outstanding debt.
Important Things to Consider:
In general, a lawsuit on credit card debt in Florida must be filed before the statute of limitations (SOL) expires. These deadlines can vary, depending on the type of contract, but typically the time period ranges from 4 to 5 years:
Oral Contracts: 4 year SOL
Written Contracts: 5 year SOL
Promissory Notes: 5 year SOL
Open-Ended Accounts: 4 year SOL
Keep in mind, lenders and debt collectors may still try to collect debt outside of these statutes, but generally, any lawsuit that arises from your unpaid debt will occur within the first four or five years of default.
If you have been sued by a lender or debt collector, the worst thing to do is ignore the lawsuit. If you do not respond within 20 days of being served the complaint and summons, a court will typically issue a default judgment in favor of the lender. Once the creditor obtains a judgment, they can attempt to garnish your wages or bank accounts or may seek to levy (or seize) your property and other assets to be sold to pay the judgment.
Credit consumers facing a lawsuit for unpaid debt in Florida may want to consider filing bankruptcy as an option. Since each case is unique, there are multiple considerations to determine whether or not bankruptcy is the right course of action for your particular case.
Call the Bankruptcy Bodyguard, the office of Robert E. Tardif Jr., P.A., to discuss your bankruptcy options. Talk to a real lawyer for free. Get the answers you need to make the right decision.