A corporation, business or someone personally can file a default judgment against you if you owe them money. Default judgments are done in a court of law in order for the person or entity to collect their funds.
Placing a judgment against a debtor is the only recourse a creditor has to secure getting his money this is owed him. This default judgment will appear on your credit report with the three major credit reporting agencies. A judgment will affect your credit rating and cause you considerable harm when applying for credit in the future.
A default judgment is claimed against you if you did not show up in court to confirm or contest this claim. There are laws in place to protect you if you were not aware a judgment was being filed against you. There is a process to enable you to have the default judgment vacated or removed.
A judge is the only one with the authority to have a judgment vacated. If you feel the information used to place a judgment against you is incorrect, you can begin the process to have the judgment vacated. Keep in mind you cannot schedule an appeal or apply for a new trial until this has been done.
There are steps to begin the process, but they MUST be done within thirty days of receiving your Notice of Judgment. Go to the local small claims court and ask for a “Notice of Motion To Vacate Judgment.” You will pay a nominal fee which is different in every state. The clerk will timestamp and file the paperwork with the proper court. This is part of your evidence.
After the clerk timestamps the paperwork, sets the date and time when you should appear, your accuser will be notified as well. The law states you have 180 to file a Notice of Motion to Vacate Judgment if you were not aware a judgment was being filed against you. A judge will listen to your circumstances when you appear in court.
You can ask the court to postpone the trial or ask for a continuance in order for to gather evidence for your trial. Some circumstances are taken into consideration.
If the judge denies your request to vacate the default judgment, you have 10 days in which to file an appeal.
How to Raise Your Credit Score 163 Points with Lexington Law credit repair services. True story – See Proof at www.creditforcouples.com.
