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Sued for defaulting on Credit Card payments

My credit card is $25,425 and have skipped 5 monthly payments. The credit card legal counsel has served me with a Writ of Summons in the Supreme Court of BC. I can`t afford a lawyer so I`ve prepared an `Appearance` on my own. I am also trying to file a statement of defense but can not come up with a plausible defense. The reason I am in this situation is because my husband has been unemployed for 12 months. I have 2 young kids and my income is about $2500 per month which barely covers our monthly expenses – rent, food, bus fare, etc. What steps do I need to take get out of this mess. Your help in this matter is much appreciated. Thanks in advance.

Posted from: British Columbia

One Response to “Sued for defaulting on Credit Card payments”

Barton Goth – Goth & Company Inc. -Trustee in Bankruptcy said...

From the sounds of it you are not contesting that you owe the money, and as I understand it the Statement of Defense is designed for situations where the you are able to demonstrate that the debt is not yours and therefore you should not be be held responsible for it. Now I am not a lawyer so you may want to obtain legal counsel, but typically the court is ordering based on statement of fact, either you owe the money or you don’t and if you do the creditors have the right to collect.

In your situation you may find it more appropriate to investigate the filing of a bankruptcy, consumer proposal or similar type actions. As these are the legislated mechanisms that are designed to be used in situations such as you have described.