what can i expect IF i let go to judgement ??

Here is some info I found on judgements and Judgement Proof status. I defer to the experts on this site because I have limited experience just tons and tons of research and book marked web pages.

Source http://www.fair-debt-collection.com/statue-limitations-explained.html

Judgment Proof

Special Note: Judgment-proof is the commonly used term but a more accurate term would be "execution-proof"! Although creditors and debt collectors win lawsuits, they still have to collect thus, if you are penniless you are insulated not from judgment but from execution (collection of the debt - at least temporarily).

You may be considered "Judgment Proof" during periods of unemployment, while drawing disability pay or disability retired pay or if you have no assets such as home, car, land, and other big-ticket items. In other words, you have no money and no income and can prove it!

Never ignore a lawsuit just because you are broke or have no assets! If a debt collector or creditor is trying to sue and you believe that you are judgment proof, you must respond to the lawsuit as such. Failure to appear and show the judge why you are judgment proof opens the door for the judge to grant the collector a "default judgment". Even though they cannot collect anything from you now, they can wait many years and try again. Also, the judgment show up on your credit report and costs you many points on your credit score!

If you lose your "judgment proof" status because of a change in your financial status, creditors or collectors can seek a judgment and, if successful, also seek wage garnishment of up to 25% of your disposable income.

Once you're employed again or your financial situation improves, it's better to negotiate a reduced payoff rather than risk a court-ordered judgment. The difference is your credit report will show "debt settled" instead of the more negative "judgment"!




Source:http://www.carreonandassociates.com/articles/faqjudgments.htm

Avoid judgments at all costs!!
The statute of limitations (SOL) on judgments is long--very long usually 12 to 20 years and many are renewable (a judgment may be renewed if the creditor files a new suit seeking to renew the judgment prior to the expiration of the original judgment) therefore the judgment could follow you around forever. Even if you pay it you will be stuck with a 'satisfied judgment" for 7 years from date satisfied not filed! This can be a hopeless situation so avoid being sued at all costs. Be sure to always check your SOL for debts if you have been served because if it is expired (and many debts expire in 4-6 years) you can use that to dismiss the case. Many debtors are served everyday for debts and they simply do not show up in court and a default judgment is entered against them- big mistake! Had half of them simply checked their SOL they would have found that the debt may have expired years before but since they did not dispute this, the judgment was awarded. You can use an expired SOL as a solid defense in court against a creditor/collector.

If you are sued- never let a default judgment be entered
You have nothing to lose by disputing the validity of the judgment or even settling it out of court to avoid that nasty record landing on your credit reports. Even if you owe the debt and it is not legally expired under the SOL and you have no claim to vacate it- you should attempt to settle it out of court---before the court date so that it can be set aside. All the JC wants is their money so calling them to work out a settlement is the only smart thing to do. Otherwise you may be forced to pay it later through wage levy or asset liens and not to mention the damage it will have done to your credit.

 

Woody Allen said 90% of life was just showing up. You can't win if you don't fight. Answer every pleading, attend every hearing, and definitely do not let the other side say they are doing anything that will or will not affect your rights without knowing for a fact that they speak the truth.

Creditors want quick defaults. When they don't get them, you're already halfway to winning the battle.

 

If you allow it to go to default, they may; seize your bank account(s), garnish your wages. It may, in th future prevent you from leasing an apt or house or even buying a house.

You've been given a means to fight this, it is up to you to read your local rules on how to form the answer and FIGHT THE DAMN THING!

 

As Enigma aptly stated, the biggest danger you now face it garnishment. In addition and to clarify a common misconception, an "unpaid" public record such as a judgment, tax delinquency, or property lien can stay on your credit reports in perpetuity. This of course does not include any chapter of banruptcy protection insofar as a discharge carries the same meaning as "paid." Conversely, a "paid" public filing can only stay for ten years.

 

Tax liens, parking fines, library fines and the like will stay forever, unless paid ... then they will drop off in 7 years.

Private judgments can stay 7 years or until they expire, whichever is longer. As a practical matter, judgment creditors in states where the validity of the judgment is longer will typically need to re-record the judgment near 7 year mark to keep it on the reports. In addition, before the judgment expires (or in some cases within some time period thereafter--in Georgia it's 3 years) they will need to either renew or revive it, sometimes under a statutory procedure or in other cases using the ancient writ of scire facias. Sometimes the creditor can choose between the two. One may be a simple ministerial matter while the other will require a new action to be filed in court.

In some states the property liens on any particular judgment are limited in their duration ... the limit doesn't necessarily coincide with the legal life of the judgment and without a valid judgment the lien may lose validity ... but if the judgment were to be used to create a new judgment, the law may say that new liens can be created ... or the law may be unclear.

Some states are entirely clear in their case law that an expired judgment is dead, done and gone ... South Carolina seems to be one example. In others, it's not clear that an expired judgment of any age is barred from being revived, except perhaps on grounds of laches.

 

Thank you for the correction. It is important to distinguish between the periods.