You can now watch the above video which gives you the complete overview and discussion of the 5 options you have when you are sued by any debt collector or debt buyer in Alabama including Cavalry, LVNV Funding, Midland Funding, Portfolio Recovery, Unifund, etc.
Even if you believe you know what you want to do, I suggest you go through the process of watching this video to make sure that you have thought about each of the five options.
Those options are:
1. File Bankruptcy
2. Fight the case on your own
3. Settle the case on your own
4. Hire a lawyer to fight the case for you
5. Hire a lawyer to settle the case for you
Let’s chat about these briefly.
Bankruptcy is an extreme option we do not often recommend. When necessary, it works, but it “has a lot of side effects” — credit damage, harms your ability to get financing in the future even outside your credit score, you can’t file chapter 7 again for 8 years, etc.
The next two options are do it yourself options. You can fight the case on your own — you’ll save money and you’ll need to spend time to make this work. Or you can settle the case on your own — normally about 50% in a lumpsum or 100% paid over 2-3 years.
The final two options involve hiring a lawyer. We combine these as normally we give the collector a simple choice.
1. Let’s fight the case and if we win we will look at suing the debt collector in federal court as we have done dozens and dozens of times.
2. Let’s settle the case where everybody walks away. Delete the credit reporting. No one is paid any money. The case is over.
If you have questions about your options when sued in Alabama, please feel free to get in touch with us by calling us at 205-879-2447 or contacting us through our website AlabamaConsumer.com.
John G. Watts Watts & Herring, LLC Birmingham, Alabama
ps — click here if you want to read a more indepth article which also has the video.