Just found out a small lien was placed on my house (under $1000) for a local debt from a school I went to, then withdrew from. I was never actually served...can I file a motion to vacate default judgement. Has anyone ever done this? How easy is it? Ugh!!!
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Okay - additional info on this. There is just a recording on file with my county against me for this judgement, but there is specifically no lien against my property. However, what freaked me out was that I received a letter from the CA that a lien was in the process of being placed against my property. I am wondering if this is a scare tactic. I am still lookig into what the actual process is of getting a lien like this placed on a property in my state (Colorado). Perhaps a default judgement is not sufficient enough to get a lien placed, especially since it is an unsecured credit lien and not a mechanics lien.
I did a little research and I am definitely going to go down to the courthouse next week and file a motion to vacate judgement. -
This sounds like it would fall under the jurisdiction of small claims.
I can understand how these things happen. Consumer disputes charges from a business/school, gets frustrated, and ignores it.
In this case depending on how old the debt is, it might be best, rather than lawyering up on them, to just offer to split the difference and give them $500.
The key question here is, are you planning to file BK at any point in the future to remove this thing. If so, then no problem. If not, I'd think this through. Posting here was a good start. We don't always bite.
filed chapter 13..confirmed...converted to chapter 7...DISCHARGED!Comment
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if you fight it and win, they will probably just re file and do it right the next time and unless you have grounds you will lose eventually...if you are not planning on selling the house right away or re financing..they cant force anything ...the lien will drop off in 10 years in most states...unless they renew..and they must do that in the 6months prior to it ending....but for that amount...as others have said...try to settle for less..unless of course you are eventually planning on filing bk.....Comment
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I could be a bit off track on the OP, but some states have all kinds of "judgments."
I agree that opening up a can of worms for an amount such as $1K - $2k could potentially cost you a lot more. But, see my comments below. There may be no can to open up!
Was this debt from a private or public school. If public, it is likely they don't need to go to court to get a judgment. This is true of all monies owed to public institutions in my state, and I think it is generally true at the national level.
For instance, if a student does not pay their outstanding balance at Oregon #### University, they just file some papers with the in-house justice, and BINGO a judgment occurs. I don't think they attempt to go after wages, etc. They know they will be paid when you eventually attempt to sell the house.
The judgments against me (Oregon) have been different.
1) "This judgment creates a judgment lien. A judgment lien attaches a debt for the payment of money to the real property of the judgment debtor(s)." That one was funny. I clearly had no real property, and the creditor had to fork over extra money to get the real property lien. That cost was not passed on to me. In two months, wage garnishment paid this off. These guys filed a judgment lien for a debt of $1500.00. Goofballs.
2) "This judgment does not create a judgment lien." This particular case was under $3000 and amounts <$3000 do not create a judgment lien unless the judgment creditor files for one.
The first one above was out-of-town. The second one was in-town and they knew I had no real property and it was unlikely that I ever would.Comment
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