What to Do If a Credit Card Company Refiles a Judgment?

When a credit card company takes you to court to get you to pay what you owe, it must get a judgment permitting collection of the debt. In many states, credit card companies can refile a judgment, extending the time you are obligated legally to pay. When this happens, take steps to verify your rights.

Respond to the Judgment

When a credit card company refiles a judgment, you have the right to respond in most states by filing a formal answer. In the answer, verify that you'll attend the hearing associated with the case -- even if the credit card company made a mistake in refiling, the company may get a default judgment against you if you don't go to this hearing. Briefly indicate your position, such as that you aren't contesting the fact that you owe or that you aren't responsible for the amount indicated. If necessary, request that the hearing date and time be moved to fit your schedule. If you are willing to admit you owe the debt and negotiate with the credit card company, say so.

Get Court and Credit Card Company Documents

Sometimes credit card companies do not follow due process laws, either intentionally or unintentionally. Ask both the credit card company and the court for copies of all documentation related to your debt and the judgment. Look at the documentation for evidence that the credit card company violated your due process rights. If you can find evidence of a due process violation, you can ask the court to overturn the judgment and order a new hearing so you can defend yourself better. At a minimum, getting the documents allows you to verify the accuracy of the amount you owe.

Gather Personal Data

Make copies of personal data like bank account statements, utility bills and pay stubs. Show the judge what your current financial situation is. This may not eliminate the judgment, but you may be able to ask the judge to modify the judgment so that the amount you have to pay makes it easier for you to live.

Research the Statute of Limitations

Credit card companies cannot refile judgments in all states. Even in states where refiling and renewal is permitted, the credit card company must refile within the statute of limitations. If the credit card company refiles after the statute of limitations has expired, use this as a defense against paying the debt.

File for Bankruptcy

Credit card debt is unsecured debt, and in most instances, filing bankruptcy eliminates unsecured debts. Filing bankruptcy will hurt your credit, but it usually voids the judgment the credit card company has against you if you name the company as a creditor in the bankruptcy case.