Expert: Michael Brotherton - 3/1/2009

Question
Hello
Help!  I was just served by the Sherriff's Dept a notice that I am being sued civilly in court for an unpaid balance to Capital One Credit card.  This debt was over 5 years old.  Well that was the last that I heard from them.  My case is a little complicated.  About 4 years ago my credit card payments were being paid by the disability insurance I purchased when signing up for my credit card.  Unfortunately, I was incarcerated for 3 years and I do not know what happened after that. I just came home this past June 2008.  Since that time, I have been trying to pick up the pieces in my life.  I am still disabled and fighting for my Social Security.  I am working; however, it is only about 10 hours a week.  My income falls well below the poverty line.  Nonetheless, I struggle to work those hours.  I enrolled in school to try to finish my degree I started so long ago.  However, I am still having problems there.  At this point Capital One was not even a thought because I forgot I even had a credit card with them.  My life was scattered when I was incarcerated and along with that so was all my finances.  Therefore, when I was served last week, I was in complete shock.  Well that kind of brings you up to speed on my situation.  I called the attorney's office making them aware that I was incarcerated for the past 3 years and I would like a detailed statement of my credit card.  I feel I am entitled to see what I owe and how it was calculated.  I am sure that I have never had a credit card over $500 so to be sued for $1600 blows my mind.  I also contacted the court to find  out what I need to do and I have till March 13th to file my response to the complaint.  I am not sure what to do at this point and I am scared to do the wrong thing that would jeopardize or incriminate myself.  Can you offer any advice or help in any way?  Thank You

Answer
Sorry for the delay. I have been inundated with questions.

Anyway, this is a civil mater not a criminal matter so relax. The worse they can do is get a judgment saying you owe the money. You do not make enough for them to garnishee your wages and if you don't own property they cannot do much else.

You may write the courts and question the amount they are suing for but more than likely they will be able to justify it. They get accrued interest and legal fees. It adds up. I know it is ridiculous but it is what it is.

If you get to go to court. Plead a hardship due to disability and let them know you are going to school. They can give you a stay of execution on the judgment so that the creditor may not interfere with your finances for a period of time.

My advice, relax and concentrate on getting through school. The creditor cannot touch you. Once you get back to work and are able to pay them do so. Until then, keep your peace.