Debt Lawsuit Q&A: Your Questions Answered by SoloSuit’s Founder
You can win your debt lawsuit with the right approach. File your Answer document before the deadline to avoid automatic loss. Then negotiate settlement from a position of strength with proper documentation and strategy.
Answer Your LawsuitWatch our live webinar where SoloSuit’s founder George Simons answers your debt lawsuit questions. You’ll learn how to respond, settle, and win your case.
Disclaimer: George is not a lawyer. SoloSuit is not a law firm. None of this is legal advice.
Respond to Your Debt Lawsuit Before Your Deadline Passes
You have limited time to file your Answer and avoid automatic loss. Get expert help preparing your response document and filing it properly in court.
Start Your Answer NowUnderstanding Your Debt Lawsuit Options
You have real options when facing a debt lawsuit. People who respond properly enjoy about a 70% win rate. Without help, most people only win 10% of the time.
Many don’t even manage to file a response. You can change that outcome.
A win means different things for different people. Sometimes cases settle for less than you owe. Sometimes judges dismiss them entirely. Sometimes cases continue, buying you time to explore bankruptcy options.
Why Most People Lose Debt Lawsuits
Debt collectors exploit people who don’t know the system. Consider this common scenario:
You’re sued for $1,000. You want to respond, but attorneys charge $3,000 or more. You try doing it yourself, but it’s complicated.
You need to generate a proper legal response. You need the correct mailing address and filing fee. You need a printer and must use certified mail.
You miss your 21-day deadline. The $1,000 debt becomes a $3,600 judgment overnight.
Wage garnishment starts without warning. You can avoid this entire nightmare by responding properly.
Live Q&A: Your Biggest Debt Lawsuit Questions
“I Haven’t Heard Anything for 90 Days After Filing My Answer”
Ninety days without contact is longer than normal. Collectors usually make their next move within 30 days.
Several things might be happening. The collector could be waiting for you to move. They’ll send documents to your old address, win by default, and garnish your wages.
If you move, file for mail forwarding immediately. Monitor your old address for legal documents.
They might also be processing a dismissal. Some collectors move very slowly.
You have options to force action. File a motion to dismiss for lack of prosecution. Tell the judge the plaintiff isn’t doing anything.
You could also file for summary judgment. Ask the judge to award you victory. Our partner Solo can help you prepare these documents.
“Should I Still File an Answer If I’m Taking a Settlement Offer?”
Yes, absolutely file an answer first. You gain more leverage after filing your response.
Some people call collectors directly after getting sued. They agree to payment plans over the phone. They think that’s enough.
It’s not. Collectors can still file a default judgment against you. You never filed the proper Answer document in court.
Even if you make payments, you’re vulnerable. Collectors often require stipulated judgments with payment plans. These agreements let them win automatically if you miss payments.
File your Answer document first. Then negotiate from a stronger position. Get settlement agreements in writing.
Have them filed in court when possible. Protect yourself with documentation.
“What If the Collector’s Attorney Doesn’t Receive My Answer?”
USPS isn’t perfect. They mess up mailings sometimes. Their tracking system reports errors occasionally.
If you have proof you mailed to the correct address, that’s usually sufficient. Courts rarely penalize defendants for postal service failures.
Attorneys experience the same issues. Their documents get lost too.
You can resend the document if needed. Most collectors check the court docket online anyway. They don’t rely solely on mail.
Never has a defendant lost because the lawyer didn’t receive the answer properly by mail.
“How Long After Filing Should I Wait to Send a Settlement Offer?”
Send your settlement offer immediately after filing your Answer. Complete your response document first.
Then make your settlement offer right away. You have maximum leverage at this point.
Collectors know you’re serious about defending yourself. They’re more likely to negotiate favorable terms. Don’t wait weeks or months.
“I Got a Court Date After Filing My Answer. What Now?”
Getting a court date is normal. Cases naturally progress from complaint to answer to court hearings.
You avoided automatic loss by filing your Answer. Now you need to show up prepared.
Bring documentation to court. Have a game plan ready. Ask debt buyers how much they paid for your debt.
If they paid 10% for a $5,000 debt, you know their floor. You can negotiate from there.
Consider settling before the court date. You can avoid the hearing entirely. Our partner Solo helps you negotiate settlements that work for your budget.
Understanding the Court Process
How Courts Handle Debt Cases
The US has complicated court systems. Federal government, 50 state governments, and countless local courts all operate differently.
Every state has its own rules. Counties and cities add more layers. Each system has different filing procedures.
Many courts don’t help regular people. Their systems favor attorneys and plaintiffs. That’s why responding properly matters so much.
What Happens After You File Your Answer
The collector must make the next move. They can dismiss the case. They can request discovery.
They can file motions. They can schedule hearings. Most collectors will do something within 30 days.
Some wait longer, hoping you’ll give up. Monitor your case on the court’s website. Check for new filings regularly.
Never assume the case disappeared. Stay vigilant until you see official dismissal.
Motion to Compel Arbitration Explained
When Arbitration Makes Sense
Credit card debt lawsuits often include arbitration clauses. These clauses let you force private arbitration instead of court.
Private arbitration costs collectors money. They pay filing fees and arbitrator costs. Many dismiss cases rather than pay these expenses.
You must file a Motion to Compel Arbitration properly. Send it to both the collector’s attorney and the court.
Important Arbitration Limitations
Some arbitration clauses exclude small claims cases. Read your credit card agreement carefully. If your debt went to small claims court, you might not qualify.
Courts may charge filing fees for arbitration motions. California charges around $60. Some jurisdictions require e-filing and hearing scheduling.
Know your state’s requirements before filing. Check rules of civil procedure for your jurisdiction.
Settlement Negotiation Strategies
Why Written Agreements Matter
Always get settlement agreements in writing. Collectors sometimes lie over the phone because there’s no record.
Not all collectors do this. But enough do that you need protection. Email negotiations create paper trails.
Phone calls are faster but riskier. Use them only after email attempts fail. Document everything you agree to.
How to Structure Payment Plans
Collectors often require stipulated judgments with payment plans. These agreements let them win automatically if you default.
Read terms carefully before signing. Understand consequences of missed payments. Make sure payment amounts fit your budget.
Consider lump sum settlements instead. Paying 40-60% upfront often resolves cases completely. You avoid monthly payment risks.
Common Mistakes to Avoid
Missing Deadlines
Your deadline usually starts when you receive the summons. Not when the plaintiff filed in court.
Most states give 21-30 days to respond. Check your specific deadline immediately. Missing it means automatic loss.
Thinking Phone Calls Count as Answers
Calling the collector doesn’t count as filing an Answer. The Answer is a specific legal document. It must follow strict formatting rules.
It must respond to each complaint allegation. It must be filed with the court. Phone calls don’t satisfy any of these requirements.
Not Following Up After Moving
Collectors exploit address changes. They send documents to old addresses. You miss hearings and deadlines.
Update your address with the court immediately. File for USPS mail forwarding. Monitor your old address if possible.
Understanding Court Rules and Procedures
Rules of Civil Procedure
Every state publishes rules of civil procedure. These rules govern lawsuit processes and deadlines. You can find them online for free.
Read them for your specific state. They’re less intimidating than they look. You can understand them with careful reading.
Filing Fees and Court Costs
Courts charge filing fees for various documents. Answer filing fees vary by state. Some states charge nothing, others charge $100-$200.
Motion filings also cost money. Budget for these expenses when planning your defense. Fee waivers exist for low-income defendants.
Getting Additional Support
When to Consider Bankruptcy
Some people respond to lawsuits to buy time for bankruptcy. Bankruptcy can discharge debt completely. It stops wage garnishment immediately.
Chapter 7 eliminates most unsecured debts. Chapter 13 creates manageable payment plans. Speak with a bankruptcy attorney for free to explore your options.
State-Specific Resources
Every state has different debt collection laws. Some protect consumers better than others. Research your state’s specific protections.
Legal aid societies offer free help in many areas. Law school clinics sometimes assist with debt cases. Search for resources in your jurisdiction.
You’re Not Alone in This
About 10 million Americans face debt lawsuits every year. Another 60 million have debt in collections. That’s roughly 20% of the US population.
You’re part of a massive group facing similar challenges. The system seems designed to make you fail. But you can fight back.
You can respond properly. You can negotiate settlements. You can win your case.
Knowledge is power in debt lawsuits. Use the resources available to you. Take action before deadlines pass. Protect your wages and your future.