Unsecured creditors can sue you in the event that you don’t spend your bills.

Unsecured creditors can sue you in the event that you don’t spend your bills.

To find out more in what to do in the event that you are sued, start to see the What Creditors may do in the event that you Don’t spend tipsheet and seek legal counsel.

Seizing home

Creditors can take action to seize your home by way of a civil enforcement agency with no need for the judgment if:

  • You have bought items through a right time product sales agreement and you’re behind or haven’t made any re re payments
  • the creditor is guaranteed by a chattel home loan along with re re re payment arrears
  • your debt is lease owed to a landlord

Stopping a seizure of home

Speak to your creditor instantly. When you can begin spending a few of the cash you owe, the creditor may keep the seized property to you.


Garnishment is really an appropriate procedure that the creditor may take following the court prizes a judgement against you. The creditor asks the court to just take the cash (garnishee) you borrowed from from quantity of sources like

  • your income cheque
  • your bank account at a lender such as a bank, treasury branch, trust business or credit union
  • records receivable (money due to you by other people)

Banking account garnishment

A creditor who garnishees your money is permitted to use the entire sum of money that you borrowed from.

Objection to a garnishment

To end the garnishment procedure or even to make changes to your garnishment by the creditor, you need to get yourself a court purchase. You shall probably require legal counsel to take action.

If your creditor sues you

A creditor has got the choice of suing you into the Civil Division of Provincial Court (previously called little claims court) or even the Court of Queen’s Bench.

If you should be sued, you’ll be offered by having a civil claim. Don’t overlook the claim.

If you’re offered by having a claim that is civil

  • speak to your creditor
  • spend the claim
  • file a dispute note

You have 20 calendar days from the time you are served to file the dispute note if you receive a civil claim in Alberta. In the event that claim is offered for you outside Alberta you should have 30 days to react.

The court will award the creditor with a judgement against you if you do not file a valid dispute note within the required time or appear in court on the day of the hearing.

As soon funds joy loans customer service as a judgement is awarded the creditor may take a few actions to have the cash which you owe:

  1. Enter a writ of enforcement with all the private Property Registry.
  2. Garnishee your wages, bank records or records receivable.
  3. Seize your premises.

Owing cash to a bank

The bank can use its right of set-off to recover the money if you have an overdue debt owing to a bank. The best of set-off permits a bank to withdraw funds from your reports to pay for your overdue financial obligation. The financial institution need not offer you notice or pose a question to your authorization prior to taking this step. The financial institution need not ask the permission of this court.

Banking institutions might use their right of set-off to get payments that are overdue charge cards, loans, overdrafts or personal lines of credit. A bank may withdraw cash it to your debt that you have on deposit in any of its branches and apply. The lender need not keep hardly any money in your bank account.

After your judgement is compensated

When a judgement has been paid by you in complete, the judgement should always be released during the Court of Queen’s Bench as well as the non-public Property Registry. Check always to be sure this is accomplished. It’s also wise to allow the credit bureau realize that you have got compensated your debt. They’ll enter this info on your credit score.

To learn more, begin to see the What Creditors may do in the event that you Don’t Pay tipsheet.

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