What is the process for collecting a court judgement?


Quick Answer

Most states allow a post-judgment discovery process by the creditors, and this process can include depositions, requests for financial documentation or interrogatories, FindLaw says. This information helps the creditor determine the source of the wages of the debtor to collect the judgment monies.

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Full Answer

A collection strategy may begin with the creditor going after wages, business assets and bank accounts, Nolo says. A creditor can also arrange for the local sheriff to confiscate money stored in the cash register of a business that is failing to pay a judgment, FindLaw says.

Creditors can also force a sale of vehicles, personal property, and real estate, but this process is costly and takes a lot of time. Creditors typically have up to 10 years to collect on a judgment, and creditors can renew for an additional 10 years, Nolo says. The debtor can appeal the judgement, so creditors should wait until the deadline expires for filing an appeal to pursue collection activity.

Creditors can also take a direct approach when collecting a debt by simply asking the business or individual who owes the money to pay it, FindLaw says. If the debtor has a stable financial situation, he may agree to pay the judgement to avoid additional legal actions and collection activities.

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