Q:

How is a default judgment collected in Texas?

A:

Collecting a default judgment in Texas is possible through a garnishment lawsuit, abstracts of judgment or through the debtor's simple payment, according to the Law Office of Tom M. Thomas II. A debtor with a default judgment in Texas can choose to pay the debt owed immediately to avoid facing other legal actions.

When a debtor pays the amount in full after the default judgment, the problem is solved in the creditor's mind, and the debtor does not face additional hardship due to the debt. Many debtors are not in a position to pay for the entire debt at once, so the creditors push for other payment measures to ensure that they receive their money.

One of these payment options is a garnishment lawsuit. A creditor files the garnishment lawsuit against the debtor's bank, which prompts the bank to put a hold on the debtor's account. If the creditor wins the lawsuit, the bulk of the debtor's bank account goes to the creditor to pay the full sum.

The other payment option is an abstract of judgment. An abstract of judgment is when the creditor files an abstract with the county records custodian to orchestrate a lien against the property. This makes it nearly impossible for the debtor to sell or buy real estate while the judgment lien is in place. This can help force the debtor to pay the debt.


Is this answer helpful?

Similar Questions

  • Q:

    What is a judgment against you?

    A:

    A judgment against a person is when a judge orders that a one party owes another party a sum of money. A judgment can be given from a company, a creditor or an individual.

    Full Answer >
    Filed Under:
  • Q:

    How do I file a judgment against someone?

    A:

    Specific rules regarding filing a judgment vary slightly from state to state. Generally, to begin the process of filing a judgment, a person must submit the appropriate forms to the local county clerk's office.

    Full Answer >
    Filed Under:
  • Q:

    What is a civil judgment?

    A:

    A civil judgment gives the details of which party wins in a court case -- the plaintiff or the defendant -- and defines what that party gets from the other. A civil judgment is the official court record documenting the disposition of a civil case.

    Full Answer >
    Filed Under:
  • Q:

    What is a stipulated judgment?

    A:

    A stipulated judgment is when both parties in civil court case agree to settle their dispute, and the judge signs a legal document reflecting the parties’ agreement. A stipulated judgment is also called a consent decree or a consent judgment.

    Full Answer >
    Filed Under:

Explore