What is a Warrant in Debt?
Under Virginia law, a creditor can take you to court to collect money that is owed. Generally, the document a creditor will file with the court is a warrant in debt. Creditors do this to collect unpaid debts.
This lawsuit is a civil case and does not involve the criminal court or jail time. You can receive a warrant in debt claim for outstanding debts such as credit card bills, personal loans, and more.
If you receive a warrant in debt in Virginia it will typically be delivered by law enforcement or by mail.
What happens at a Warrant in Debt hearing?
When you receive a warrant in debt from creditors, it will include a date to appear in court.
At the hearing, the creditor will seek to prove to the court that you owe a certain amount of money. If the court finds that you do owe money to the creditor, the court will enter a judgment against you.
The judgment will confirm that you owe money to the creditor, the amount of money owed, and the rate of interest that will accrue until the amount owed is paid in full.
Should you be worried if a creditor gets a judgment against you?
Once a judgment is entered against you, the creditor can take a number of actions under Virginia law to collect the debt from you.
The creditor could garnish your wages, which would enable them to take up to 25 percent of your disposable earnings from each paycheck you receive. The creditor could also garnish your bank account, which would enable them to freeze all of the funds in your bank account up to the amount that you owe. The creditor could even get a judgment lien attached to your house.
How do you resolve a Warrant in Debt?
Paying the debt owed would resolve the warrant in debt. However, if you are unable to pay the debt, filing a bankruptcy case under Chapter 7 or Chapter 13 can help you resolve the debt and prevent the creditor from getting a judgment against you. Filing bankruptcy would also prevent you from being garnished or having a judgment lien attached to your home.
Richmond, VA bankruptcy lawyers, Veronica Brown-Moseley and Stephen Relyea, are your trusted experts in navigating warrant in debt cases. Learn more about how our bankruptcy services help offer solutions during stressful warrant in debt situations.
Financial Freedom Legal offers free consultations to allow you to explore all of your options with an experienced bankruptcy attorney. You can complete a free consultation via telephone, Zoom, or in-person at our office. We are open 7 days a week and offer evening and weekend appointments. Contact us to begin your journey to financial freedom today!
