What penalties can I face for non-payment of debt?

If you are a resident of Washington and do not pay a debt that you owe, you could face penalties such as wage garnishment, property liens, or credit report damage. Wage garnishment happens if the court issues an order to your employer to deduct a certain portion of your salary each month. This is done to pay off your debt until it is fully paid. A property lien is when a creditor takes legal ownership of a piece of your property, such as a car or house. This lien will not be removed until the debt has been paid off. If you don’t pay what you owe, your credit score could also be affected. A creditor could file a lawsuit in court to have the unpaid debt be added to your credit report and could remain there for up to seven years. Having a bad credit rating will make it more difficult or expensive to borrow money in the future. Lastly, if your debt is high enough, you could be charged with a criminal offense for not paying your debt. This could lead to fines, probation, or even jail time. In Washington, Collection Defense Law is designed to help those who are being unreasonably harassed by creditors by allowing you to dispute the debt. This could help you avoid penalties if the debt is proven false or the creditor is found to be in violation of Collection Defense Law. It is important to remember though, that paying what you owe is the best way to avoid any of the penalties outlined above.

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What penalties can I face for non-payment of debt?

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