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Money Judgement

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kklblue

Member
What is the name of your state (only U.S. law)? Wisconsin

Lost my job last year and got seriously behind on bills. Went from 70K to 35K a year. I got behind on a debt a high risk commercial loan. Started at 2222 and I have paid $2425 back and owe about $535. I offered them $300 to settle mentioning my income is half of what it was and that its nearly all paid except for $535 in interest. They want 400 or are going to get a "money judgement".

What exactly is a "money judgement". They want the $400 in 10 days and there is no way I can do it in 10 days.

What happens after a money judgement is awarded.

Thanks
 


tranquility

Senior Member
What is the name of your state (only U.S. law)? Wisconsin

Lost my job last year and got seriously behind on bills. Went from 70K to 35K a year. I got behind on a debt a high risk commercial loan. Started at 2222 and I have paid $2425 back and owe about $535. I offered them $300 to settle mentioning my income is half of what it was and that its nearly all paid except for $535 in interest. They want 400 or are going to get a "money judgement".

What exactly is a "money judgement". They want the $400 in 10 days and there is no way I can do it in 10 days.

What happens after a money judgement is awarded.

Thanks
You have a major ding on your credit score and they have the right to collection procedures for the money that is owed. A money judgment is nothing more than what your dispute is translated into dollars and a right to try to collect it. As to the methods they would use and the difficulty they would have to make the attempt to collect is difficult to know. There are any of a number of ways they might try to collect.

http://wilawlibrary.gov/topics/justice/civil/judgment.php
http://docs.legis.wisconsin.gov/statutes/statutes/815
 

Zigner

Senior Member, Non-Attorney
What is the name of your state (only U.S. law)? Wisconsin

Lost my job last year and got seriously behind on bills. Went from 70K to 35K a year. I got behind on a debt a high risk commercial loan. Started at 2222 and I have paid $2425 back and owe about $535. I offered them $300 to settle mentioning my income is half of what it was and that its nearly all paid except for $535 in interest. They want 400 or are going to get a "money judgement".

What exactly is a "money judgement". They want the $400 in 10 days and there is no way I can do it in 10 days.

What happens after a money judgement is awarded.

Thanks
You've got $300 available immediately and you can't find ANY way to come up with $100 more in 10 days?
 

kklblue

Member
You've got $300 available immediately and you can't find ANY way to come up with $100 more in 10 days?
It was every penny I had coming up with the $300.

The other question I have is I am being told that if I don't fill out and return a form called an Order for Financial Disclosure that I will be arrested. I thought debtor's prisons were abolished like in the 1800s.
 

tranquility

Senior Member
It was every penny I had coming up with the $300.

The other question I have is I am being told that if I don't fill out and return a form called an Order for Financial Disclosure that I will be arrested. I thought debtor's prisons were abolished like in the 1800s.
Did you read the links I provided? It seems like Wisconsin is bringing them back!

815.09  Execution against debtor's person. If the action be one in which the defendant might have been arrested, as provided in ch. 818, an execution against the person of the judgment debtor may be issued after the return of an execution against the defendant's property unsatisfied in whole or in part; but if the defendant be imprisoned on execution in another action, or upon mesne process in the same action, an execution may issue against the defendant's body without any previous execution against the defendant's property.
Google Wisconsin debtor's prison and find a ton of news articles. It seems there are some circumstances where one can be arrested. I would certainly follow court rules like filling out such an order. However, are you sure you have not already been sued? Who sent you the form? Did it have a case number on it? There could be some shennagians going on where the creditor is looking to see if there is a possibility of actually getting the money. If so, keep all your records. Depending on the facts, if not a valid order, it may be a violation of law to send it to you with a warning that you would go to jail if you did not fill it out.
 

kklblue

Member
I did read the links and also googled the form. I saw a blank sample of it which says the stuff about jail. I have not received anything in the mail yet.

But as soon as I do I will promptly respond. This is all really weird to me. The one article you sent was so eye opening. That companies are using this as a catch 22 to get the courts to do some of the debt collection work.

Anyway, I am going to Uber like crazy, sell my infant headbands (cute and cheap) and see if I can come up with the money.

1 final question. If I pay the 400, how do I get a debt settled note or paper or something to say its paid in full. I don't want to just send the money and then not get that paper.
 

tranquility

Senior Member
1 final question. If I pay the 400, how do I get a debt settled note or paper or something to say its paid in full. I don't want to just send the money and then not get that paper.
That concerns me a bit as well and one reason why you should be careful. You did not write they would settle for $400, but that they would not (now) get a judgment if you paid them that. Don't get me wrong, I suspect you are responsible for the full amount. Paying their demand does not imply you owe them less. At best, it only delays a suit for the rest. (And, adds additional difficulties as to the cost/value ratio of suing.) You might ask if they are making a settlement offer. If they are, I would certainly demand some writing to that effect before giving them the money.
 

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