Legal Question in Credit and Debt Law in Texas

in the state of texas what can happen after a judgment for credit card debt

Asked on 3/14/11, 6:43 am

1 Answer from Attorneys

Mark Dunn Mark D. Dunn

Most people in Texas are "judgment proof," which means that they don't have any non-exempt property (property that can legally be seized to satisfy a judgment). This means that after the Plaintiff gets a judgment, you may be “served” with a writ of execution, but the Sheriff will return it to court “nulla bona” (no good). In other words, he won’t seize any of your property because it’s all exempt.

Read Chapters 41 adn 42 of the Texas Property Code.

The plaintiffs in judgment can garnish your bank account if they know where you bank and they believe that you have sufficient funds on deposit. The filing fee for a garnishment is around $300.00; they don't want to hit your bank with a garnishment if you have only $55 in the bank.

They will spend about $20 and record an abstract of judgment in the county where you live. This creates a lien on any non-exempt property you own (and you probably DON’T own any); it doesn’t affect your homestead.

99% of all Texans do NOT need to worry if they have a judgment against them. Bill collectors collect their money because of the debtor’s fear of the unknown; they “scare” the money out of you.

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Answered on 3/16/11, 2:29 pm

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