I've been working with a highly reputable debt consolidation company and am just about done with the program (payment wise) and one of my creditors is taking my debt to the courts. The law firm representing the creditor filed a complaint and I filed an answer admitting to the debt. My debt consolidation company is in negotiations with the creditor and I thought would settle soon as I have the funds to do so, however, I just received a Notice of Motion and Motion for Judgment on the Pleadings and order, with a date of June 9th from the law firm. I'm not sure if I'm required to show up that day in court as it is not a summons from the court. At this point, the debt consolidation company has settled with my other 2 creditors and I thought would be settling with this one too. I'm not sure what to do next as I don't want a judgment on my record or to go to court. I want to be done with this program and put it behind me. Please provide any advice you can. Thank you.

Talk to the consolidation company. If they really filed in court, then you can't ignore it. So you have to make sure of what they really sent you.

Your creditor is under no obligation to work with the debt consolidation company. The only agreement they have to honor is the one that was made when the debt was established. Your debt consolidation company should have disclosed to you that your credtors can decline to work with them and just sue you. I would see if there is legal aid or a local law clinic available to tell you exactly what you received and how you should respond but the bottom line is this: You admitted to owing the debt and they can sue you as long as they are within the statute of limitations in your state.

First a lender is under no obligation to work with a consolidation company, and some of the companies get you into worst shape than when you began before you know that they are not paying properly or use the money you pay them, to pay theirself first.

Groups like CCC are one of the few better groups.

With that said, you need to be in court on that day, or have worked out a deal yourself with them.