What happens if I receive a warrant in debt for medical bills?

Full question:

I have received a 'warrant in debt ' in the city of 'Danville , Va. It is for a balance left after my medical insurance paid it's part. I have no income. My husband is self employed and not included on this bill. Our only bank account is the one in our business name. The only vehicles we own are at least 15 years old and are all trucks for the business. We are purchasing the home we live in from a mortgage company. I have made several payments on this medical bill , but could not do so consistently because of the lack of credit available and the very erratic cash flow from the economy and the horrible winter , which made it hard to even pay the very essentials. I do not feel I am able mentally or emotionally to go to the court date. I understand this basically means that a judgement will be placed against me for the debt. First , I have been able to make two consecutive monthly payments, because I could , not because of the warrant in debt. I have always had every intention of paying this bill. We have even had to give up our health insurance . All I can do is to try to keep making monthly payments ( hopefully, regularly ) . Will they be able or want a lien against the vehicles ( they are all for the business)? I don't doubt they will place a lien against my house. It's in mine and my husband's names. Will the lien just stay there , on my record , until the full amount is paid ? The amount I owe is about $1,750.00(seventeen -hundred and fifty dollars ). Will they want us to sell our house or just keep the lien in place until the medical bill is paid in full ? I would love to be able to send the court a registered letter and explain this , but doubt that would be sufficient.

• Category: Debts and Credit
• Date: 04/07/2025
• State: Virginia

Answer:

A judgment lien is established when a court grants a creditor an interest in a debtor's property due to a court judgment. If a judgment is obtained, the creditor can file a lien against the debtor's property, which may include bank accounts or real estate, to secure payment. If the judgment remains unpaid, the creditor may enforce the lien by selling the property to satisfy the debt. The creditor, known as the judgment creditor, will likely add attorney fees and costs to the original amount owed.

Whether they will force a sale of your home depends on how the property is titled and the nature of the debt. In Virginia, if the home is owned jointly by you and your husband as tenants by the entirety, the creditor typically cannot force a sale if the debt is solely yours. A homestead exemption may protect some of your property from creditor claims, allowing you to exempt certain values of property, including a vehicle worth up to $2,000 (Va. Code § 34-26).

Liens can remain on your record until the debt is paid in full. Creditors usually do not force the sale of a home if the debt is solely the responsibility of one spouse. You may want to file a homestead exemption to protect your property. If you are unable to pay the debt, consider contacting the creditor to negotiate a payment plan or settlement. Communication is key, as creditors may be willing to work with you.

Filing for bankruptcy can also stop collection actions and provide relief from creditors, but it’s essential to evaluate your financial situation before proceeding. If you need further assistance, consider reaching out to a nonprofit credit counseling organization that can help you manage your debts.