Sued by a debt collector: what to do

Your deadline to answer, your defenses and what can be taken if you lose.

Being sued by a debt collector is serious, but it is not the end of the story. Many collection lawsuits end in a default judgment only because the person didn't respond. If you answer on time, the collector has to prove its case, and you can raise defenses such as a debt that is too old or not yours. This guide explains what to do, with the rules from our 48 state guides.

Make sure it is a real lawsuit

A real lawsuit comes as court papers: a summons, which names the court and the deadline to respond, and a complaint, which says what the collector claims. Check the court and the case number on the court's own website or by calling the clerk, using a number you find yourself, not one on the papers. Scammers sometimes threaten fake lawsuits; a real court never asks you to pay a collector by phone to stop a case.

Answer by the deadline

In our state guides, the time to answer a debt lawsuit runs from about 14 to 30 days after you are served, depending on the state and the court. Some courts instead set a hearing date on the summons. Examples:

  • California: 30 days after you are served with the summons, to file a written response (Superior Court, including limited civil cases).
  • New York: 20 days after you were handed the summons in person; 30 days if it was served another way, such as left with someone else and mailed (CPLR 320(a)).
  • Florida: Small claims (up to $8,000, county court): you must appear at the pretrial conference shown on your summons/notice to appear (Fla. Sm. Cl. R. 7.090).
  • Illinois: Most debt cases: file an appearance and answer within 30 days after you are served, not counting the day of service (Ill. S. Ct. Rule 101(d)).
  • Georgia: 30 days after you are served, in writing.

The summons in your hands is the best guide to your deadline. Count from the day you were served, and file your answer with the court clerk, often on a free court form, and send a copy to the collector's lawyer as the court requires.

If you don't answer

If you miss the deadline, the collector can ask for a default judgment: the court can decide the case without hearing from you and award what the collector asks, often with fees and interest. With a judgment, a creditor can usually ask the court to garnish your wages or freeze your bank account, within the limits of your state's law. Undoing a default judgment later is hard.

Defenses to think about

  • The debt is too old. A collector must not sue on a time-barred debt (12 CFR 1006.26(b)), but if it does, the time limit is usually a defense you must raise in your answer. See time-barred debt and the statute of limitations table.
  • It's not your debt, or the amount is wrong. The collector must prove that you owe it and how much. Debt buyers must show they own the debt.
  • You already paid or settled it. Bring your receipts and letters.
  • The collector broke the law. Violations of the federal law can be raised in a separate claim; you can sue within 1 year (15 U.S.C. 1692k).

What can be taken if you lose

Federal law caps wage garnishment for ordinary debts at 25% of your disposable earnings or the amount above 30 times the federal minimum wage ($217.50 a week), whichever is less (15 U.S.C. 1673(a)), and many states protect more. In North Carolina, Pennsylvania, South Carolina and Texas, our guides say wages generally can't be garnished for ordinary consumer debts or are protected when needed for your family. Directly deposited federal benefits such as Social Security are protected in your bank account up to two months' worth (31 CFR 212.6). Compare every state in the wage garnishment table.

Get help

Court self-help centers explain the forms, and legal aid offices help people with low incomes for free. A lawyer who handles consumer cases may take an FDCPA claim without charging you up front, because the law lets you recover attorney's fees. Your state page links to the court's self-help page and to free help.

Step by step

  1. Write down the date you were served and find the deadline on the summons.
  2. Check the case with the court yourself.
  3. File your answer on time and list every defense that may apply.
  4. Go to every hearing, bring your papers, and ask about settlement or a payment plan if you owe the debt.