Can you be arrested for credit card debt?

Answer 1

Arrested for credit card debtYou cannot actually be arrested for Credit Card debt. Being in debt and owing money in general is a civil issue, not a criminal issue. Technically you did not steal the money, you and the credit card company have an agreement that you will borrow the money and pay it back when you can. If you don't pay it back, the credit card companies can sue you, and since the state usually upholds contracts, courts and subpoena you to appear in court. If you don't appear in court when requested, that's when they can put an arrest warrant out for you. But you would be arrested for failure to appear in court, not credit card debt.

Many people don't realize this, but you if you are honestly trying to pay back your creditors you can make a very small payment providing you can prove you have no other way of feeding and housing yourself. If you have a brand new car and are still spending then you have simply sunk yourself and the full amount being paid back will be required.

Credit Card Companies will really work with you to pay of your debt if you make an effort and contact them. You can also have them lower the interest rate on your credit card debt (Visa is approx. 19 1/2% here in Canada.) Credit Card Companies and most other companies don't want to have to go to court for their money unless its into the tens of thousands because the court costs are higher.

When in doubt, and you can't meet your payments phone the Credit Card Company and work with them. They will usually give you every break you can.

When a credit card company sues you and you don't appear in court, the court does not put out an arrest warrant for you. If you don't show up, the judge simply rules in favor of the credit card company and what's granted is a default judgment against you.

What the judgment does is put a lien on any realestate property that you own. So, if you own a house and wanted to sell it or refinance it, then the judgment would have to be settled before you could do that. The term length of the judgment varies according to the state where you live. In some states, judgments can last 20 years or more. Also, some states allow judgments to be renewed.