What happens if I can’t pay a small claims fine?
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What happens if I can’t pay a small claims fine?
I’m a graduate student with no income and was sued out-of-state. I have no money to pay the person who sued me. They won a small claims jugement for $5000.
Asked on December 26, 2011 under Bankruptcy Law, North Carolina
Answers:
FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney
Answered 12 years ago | Contributor
If you cannot make monthly installments to pay off the $5,000.00 small claims judgment against you, interest on it will accrued at 10% or so. Possibly the judgment creditor will attempt to levy upon your bank accounts and other assets to get some if not all of the judgment paid off.
Assuming you get a job later on, your wages can be garnished to get payment on the judgment. In most states a judgment is good for 10 years where it can be renewed for another 10 years.
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