What Happens When a Bank Sues You: A Simple Guide

The single biggest mistake people make when they get sued is doing nothing at all. It’s an understandable reaction to a stressful situation, but ignoring a lawsuit guarantees you will lose. The bank is counting on you not to respond. When you don’t, they can get a default judgment, which is a court order that gives them the power to garnish your wages or freeze your bank account. This article explains what happens when a bank sues you for credit card debt so you can avoid that outcome. We’ll show you why responding is your most powerful move, how it forces the bank to prove its case, and what steps you can take to defend your rights.

Key Takeaways

• Prioritize Your Response Deadline: The moment you're served, a strict 14 to 30-day clock begins. Responding on time is the single most important step to avoid an automatic loss and keep your options open.
• Force the Bank to Prove Its Case: The burden of proof is on them, not you. By filing a formal Answer, you challenge them to provide documentation for the debt, its amount, and their legal right to collect it.
• Understand You Can Settle or Fight: Responding doesn't lock you into a court battle. It opens the door to negotiating a settlement, often for less than you owe, or identifying legal defenses that could get the case dismissed.

What to Expect When You're Sued for Credit Card Debt

Getting a lawsuit notice in the mail can feel like a punch to the gut. Your mind might race with worst-case scenarios, but take a deep breath. Being sued by a bank for credit card debt is a serious situation, but it’s a process you can get through, and you absolutely have rights. The most important thing to know is that you can't ignore it. When a creditor sues you, they are formally asking a court to order you to pay the debt. It’s now up to them to prove their case. They have to show the court that the debt is valid, the amount is correct, and you are the person who owes it.

This process is governed by rules and deadlines. The first step is receiving the official court papers, which kick off a strict timeline for you to respond. Failing to act within that window is the biggest mistake you can make, as it can lead to an automatic loss. But by understanding what to expect and what your options are, you can protect yourself and work toward a fair resolution. Remember, you won't go to jail for unpaid consumer debt. This is a civil matter, not a criminal one, and there are clear steps you can take to handle it.

What Are a Summons and Complaint?

When you're sued, the first documents you'll receive are called a Summons and a Complaint. Think of them as an official notification and an explanation. The Summons is a formal notice from the court telling you that a lawsuit has been filed against you. It will name you as the defendant and the bank or debt collector as the plaintiff. Most importantly, it will state the deadline you have to respond.

The Complaint is the document that lays out the plaintiff's claims. It explains why they are suing you, detailing the alleged debt and stating how much money they believe you owe. Together, these papers officially begin the legal process. They aren't just letters or warnings; they are legally binding documents that require your immediate attention.

Your Timeline for Receiving Court Papers

You won't just find these documents in your regular mail. The formal process of delivering them to you is called "service of process," and it's done to ensure you've officially received them. Typically, a professional process server or a sheriff's deputy will deliver the papers to you in person. In some cases, they may be left with an adult at your home or sent via certified mail, requiring your signature.

The moment you are served, a critical clock starts ticking. You have 14 to 30 days to respond, depending on your state's laws. This deadline is not a suggestion—it's a strict rule. Make a clear note of the exact date you received the documents, as your entire case hinges on meeting this first deadline. Missing it gives the bank an easy path to win automatically.

How to Read Your Court Documents

At first glance, court documents can look intimidating with all their formal language. But you only need to find a few key pieces of information. On the Summons, look for the name of the court, the case number, and the deadline for your response. This deadline is the most urgent detail.

On the Complaint, carefully read the numbered paragraphs. Find the names of the plaintiff (the one suing you) and the defendant (you). Check that your name and address are correct. The complaint will also state the amount of the debt the bank claims you owe. Does this amount look right to you? Do you recognize the original creditor or account number listed? Reading these documents carefully is the first step in building your response and identifying any potential errors you can challenge.

What Legal Documents to Expect

When a bank decides to sue you for credit card debt, the process begins with a formal step called “service of process.” This usually means a process server will hand-deliver a packet of legal papers to you at home or work. It’s an intimidating moment, and your first instinct might be to ignore the documents or pretend it didn’t happen. But these papers are your key to understanding the case against you. They contain critical information, including who is suing you, why they believe you owe them money, and—most importantly—the strict deadline you have to respond.

Think of these documents not as an attack, but as your official invitation to defend yourself. Reading them carefully is the first and most powerful step you can take. It’s your chance to find errors in the bank’s claim and start building your side of the story. Ignoring a lawsuit is the fastest way to lose, as it allows the court to issue a default judgment against you. Instead, take a deep breath and open the envelope. Understanding what’s inside is how you begin to take back control of the situation and protect your rights.

What Are a Summons and Complaint?

Inside the packet of documents, you will find two key papers: a Summons and a Complaint. The Summons is an official notice from the court informing you that a lawsuit has been filed against you. It formally names you as the defendant and tells you that you must respond to the lawsuit within a specific timeframe. The Complaint is the document that details the plaintiff’s (the bank or debt collector’s) claims. It explains why you are being sued, outlining the specific debt they believe you owe and the legal reasons they are entitled to collect it. Together, these documents kick off the formal legal process.

Your Timeline for Receiving Court Papers

The most important piece of information on the Summons is your deadline to respond. This is not a suggestion; it’s a hard deadline set by the court. The time you have to file a formal response, known as an Answer, varies by state but is usually between 14 and 30 days from the day you were served. The clock starts ticking the moment those papers are in your hands. If you miss this deadline, the bank can ask the court to rule against you automatically. This is called a default judgment, and it means you lose the case without ever getting to present your side. Find that deadline immediately and mark it on your calendar.

How to Read Your Court Documents

Once you know your deadline, read the Complaint from top to bottom. The Consumer Financial Protection Bureau advises you to check every detail for accuracy. Does it list your name and address correctly? Do you recognize the account number and the original creditor? Look closely at the amount they claim you owe—does it seem right? Debt collectors sometimes make mistakes, suing the wrong person or for an incorrect amount. Any errors you find could be used in your defense. As you read, make notes of anything that seems wrong or that you disagree with. This is the first step in preparing your official response.

Don't Ignore the Lawsuit: Here's What Happens If You Do

When you’re served with a lawsuit, your first instinct might be to ignore it and hope it goes away. It’s a completely understandable reaction, but it’s also the most damaging thing you can do. Ignoring a lawsuit doesn't make it disappear; it guarantees that you lose. The bank or creditor is counting on you not to respond. In fact, a huge number of debt collection lawsuits—as many as 70% to 90%—end in a default judgment simply because the person being sued never filed an Answer.

Failing to respond gives the bank an automatic win and hands them powerful legal tools to collect the debt, often for more than you originally owed. The consequences can be severe, affecting your income, your savings, and your ability to get credit for years to come. The good news is that you have rights and options, but you can only use them if you participate in the process. Taking that first step to respond is the single most important thing you can do to protect your financial future.

The Risk of a Default Judgment

Think of a lawsuit as a conversation with the court. The bank starts the conversation by filing a Complaint, and you continue it by filing an Answer. If you stay silent, the judge only hears one side of the story—the bank's. When that happens, the court will likely issue a "default judgment" against you. This is an official court order that says you lose the case simply because you didn't respond.

A default judgment gives the bank the legal green light to start collecting from you. It doesn't matter if the debt was incorrect, too old, or belonged to someone else. By not answering, you give up your chance to raise any of those defenses. The court assumes the bank's claims are true and rules in their favor, giving them powerful tools to force payment.

Facing Extra Fees and Penalties

A default judgment isn't just for the amount of the original credit card debt. The court order will almost always include additional costs that can cause the total amount you owe to balloon. The bank can ask the court to add its legal fees, court filing costs, and any accrued interest to the final judgment amount.

Suddenly, a $2,000 debt could turn into a $3,500 judgment. Interest will continue to pile up on this new, higher amount until it's fully paid. This is one of the main reasons why responding to the lawsuit is so critical. By filing an Answer, you keep the door open to negotiate a settlement for a lower amount or challenge the validity of these extra fees. Ignoring the lawsuit takes those options off the table and leaves you on the hook for a much larger debt.

How a Lawsuit Affects Your Credit Score

Once a bank gets a judgment against you, it becomes a public record and can be reported to the credit bureaus. A civil judgment is one of the most damaging events for your credit score, and it can stay on your report for up to seven years. This negative mark can make it much harder to get approved for a car loan, a mortgage, or even a new credit card in the future. Some landlords and employers also check credit reports, so it could impact your ability to rent an apartment or get a job.

Beyond your credit report, the judgment gives the creditor serious collection power. According to the Federal Trade Commission, they can legally take money directly from your paycheck through wage garnishment, freeze your bank account and seize your funds, or even place a lien on your property, like your home or car.

How to Respond to the Lawsuit: Your First Steps

Getting served with a lawsuit is jarring, but now is the time for clear, focused action. Ignoring the problem won't make it disappear—in fact, it gives the bank an automatic win. Responding correctly is your first and most important move to protect your rights. It shows the court you’re engaged in the process and forces the bank to actually prove its case. Let’s walk through the three immediate steps you need to take.

Meet Your Deadline: Filing an Answer

When you’re sued, you’ll receive a package of legal papers, usually called a Summons and Complaint. The Summons is the official notice from the court that you’re being sued, and it specifies your deadline to respond—typically between 14 and 30 days. The Complaint outlines who is suing you and why.

Meeting this deadline is non-negotiable. If you fail to respond in time, the bank can ask the court for a default judgment, which means they win the case automatically without you ever getting a chance to tell your side of the story. Your official response is a legal document called an “Answer,” which you must file with the court. This is your formal entry into the case and the first step in defending yourself.

Identify Your Defenses

Your Answer is more than just a confirmation that you received the lawsuit. It’s your opportunity to present your defenses. A defense is a reason why the bank shouldn’t win its case against you. You don’t need to have a perfect, ironclad argument right away, but you do need to state your initial defenses in your Answer.

Common defenses include the debt being too old to collect (past the statute of limitations), the amount being incorrect, or the company suing you not having the legal right to collect the debt. By responding, you force the debt collector to legally prove their claim and show the court that the debt is valid and that you are the one who owes it.

Gather Your Documents

Start collecting every piece of paper you have related to this debt. This includes old credit card statements, the original cardholder agreement, and any letters or notices you’ve received from the bank or a debt collector. Having your own records helps you spot inconsistencies in the bank’s claims.

One of the most powerful first moves you can make is to formally ask the collector to verify the debt. You have the right to demand proof that you owe the money and that they have the right to collect it. As you check your own papers and compare them to the lawsuit, you might find errors in the amount, dates, or account numbers that can become part of your defense strategy. Organization is key, so keep everything together in one place.

What Happens If the Bank Wins?

If you don’t respond to the lawsuit or if the court rules in the bank's favor, the bank gets what’s called a “judgment.” A judgment is a formal court order that says you legally owe the debt. This is a game-changer because it gives the creditor powerful new tools to collect the money from you. Before the lawsuit, they could only call you and send letters. After winning a judgment, they can use the legal system to force payment.

This is the most critical reason why you should never ignore a lawsuit. Failing to show up or respond is the fastest way for a bank to get an automatic win, known as a default judgment. Once the creditor has this court order, they can move on to more aggressive collection methods. These aren't just threats; they are legally enforceable actions that can directly impact your finances and property. The most common methods include taking money from your paycheck, freezing your bank accounts, and placing liens on your property. Understanding these possibilities helps you see why taking action early is so important.

Can They Garnish Your Wages?

Yes, with a court-ordered judgment, a creditor can start a wage garnishment. This means they can legally require your employer to send a portion of your paycheck directly to them to pay off the debt. Your employer has to comply with the court order. You won’t have a say in the matter once the garnishment is in place, and the money is taken out before your paycheck ever hits your bank account. There are federal and state laws that limit how much of your income can be garnished, so they can’t take your entire check. However, it can still represent a significant and sudden drop in your take-home pay, making it much harder to cover your regular expenses.

Can They Freeze Your Bank Account?

A judgment also allows a creditor to freeze or levy your bank account. They can send the court order to your bank, which is then legally required to freeze your funds and turn them over to the creditor to satisfy the debt. This can happen without any advance warning. You might go to use your debit card or pay a bill only to find that your account is frozen and the money is gone. This applies to both checking and savings accounts. Certain types of funds, like Social Security benefits or child support, are generally protected from seizure, but you may have to prove to the court that your account contains these protected funds.

Understanding Property Liens and Asset Seizure

Finally, a creditor with a judgment can place a lien on your property. A property lien is a legal claim attached to your assets, most commonly your home or car. This doesn't mean they immediately take your house. Instead, the lien ensures they get paid if you ever sell or refinance the property. The debt would have to be paid off from the proceeds before you receive any money. A lien can make it impossible to sell your property or use it as collateral for another loan until the debt is cleared. It essentially makes your property a security deposit for the debt you owe, clouding the title and limiting your financial flexibility.

Can You Settle Out of Court? Your Negotiation Options

Yes, you absolutely can. Most debt collection lawsuits never actually make it to a trial. Settling out of court is a very common outcome, and it’s often the preferred path for both you and the bank suing you. Think about it from their perspective: going to court costs them time and money. They would much rather reach an agreement, get paid, and close the case. This gives you significant leverage to negotiate.

Settling means you and the plaintiff (the bank or debt collector) agree on an amount you’ll pay to resolve the debt, and in exchange, they drop the lawsuit. Often, you can settle your debt case for less than the original amount you owed. The key is to handle the process carefully and formally. You can negotiate a settlement at almost any point in the process, but your strategy might change slightly depending on whether a judge has already ruled on your case. Remember, you don’t have to navigate this alone. LawLaw’s Premium Plan includes a negotiation strategy guide and a settlement offer letter template to help you craft a strong offer and communicate effectively with the other party.

Settling Before a Judgment

The best time to settle is before the court issues a final decision, known as a judgment. You can start negotiations at any time after you’ve been served with the lawsuit. When you reach an agreement, the most important rule is to get everything in writing. A verbal promise is not legally binding and won’t protect you. The written settlement agreement should clearly state the amount you’ll pay, the date it’s due, and that this payment will satisfy the debt in full, leading to the dismissal of the lawsuit. Many debt collectors prefer a single, lump-sum payment and may offer a better discount if you can pay the settled amount all at once.

Settling After a Judgment

If the judge has already issued a judgment against you, you can still negotiate a settlement. The process is similar: you agree on a payment amount, and you get the agreement in writing. However, there’s one crucial extra step. Once you’ve paid the agreed-upon amount, the plaintiff must file a form with the court called an “Acknowledgment of Satisfaction of Judgment.” This document is official proof that you have fulfilled your end of the deal and the judgment is paid off. Without it, the judgment could remain on your record and continue to harm your credit, so make sure this step is included in your written agreement.

Setting Up a Payment Plan

What if you can’t afford to pay the settled amount in one lump sum? Negotiating a payment plan is another great option. This allows you to pay off the agreed-upon settlement amount in smaller, monthly installments. Just like any other settlement, you must get the payment plan details in writing. Make sure the agreement clearly outlines the amount of each payment, the due dates, and the total number of payments. It’s critical to make every payment on time. If your financial situation changes and you think you might miss a payment, contact the creditor immediately to discuss your options when you're sued. Proactive communication can prevent them from taking further action, like freezing your bank account.

Your Defense Strategy: How to Fight the Lawsuit

Getting sued by a bank can feel like an automatic loss, but that’s rarely the case. Many people assume that if they owe money, they have no way to fight back. The truth is, the company suing you has the burden of proof—they are the ones who have to convince the court that you owe the debt, the amount is correct, and they have the legal right to collect it.

Many debt lawsuits contain errors, from incorrect balances to missing paperwork. This is where your defense strategy begins. By responding to the lawsuit, you force the bank to prove its case. You’re not just delaying the inevitable; you’re holding them accountable and protecting your rights. Challenging the lawsuit gives you the opportunity to identify weaknesses in their claim, which can lead to a better outcome, like a settlement for a lower amount or even a full dismissal of the case.

Common Defenses Against Credit Card Lawsuits

One of the biggest misconceptions is that an unpaid credit card bill means you have no defense. That simply isn't true. Many lawsuits are flawed, and identifying those flaws is key to building your case. For example, is the amount they claim you owe incorrect? Do you have proof of payments they haven't credited? Were you a victim of identity theft? These are all valid points to raise.

When you file an Answer to the lawsuit, you can present these arguments, known as affirmative defenses. The goal is to show the court that, even if the debt was once yours, there are legal reasons why the bank shouldn't win the lawsuit. This forces the debt collector to prove every part of their claim.

How to Challenge the Bank's Proof

The responsibility to prove the case rests entirely on the company that is suing you. Your job is to challenge their evidence. You can do this by asking them to provide clear documentation for their claims, a process often called "debt verification." Can they produce the original signed credit card agreement? Can they provide a complete history of payments and charges that adds up to the amount they’re demanding?

If they can’t produce this proof, their case gets much weaker. Often, debt is sold and resold, and the company suing you may not have the original paperwork. By formally questioning their evidence, you put them on the spot. If they lack the necessary documentation, they may not be able to win the lawsuit.

Is the Debt Too Old? Understanding the Statute of Limitations

Every state has a law that sets a time limit for how long a creditor can sue you over an unpaid debt. This is called the statute of limitations. If the bank or debt collector waits too long to file a lawsuit, the debt may be considered "time-barred," and you can no longer be legally forced to pay it through the courts. This is one of the strongest defenses you can have.

The time limit to sue varies by state and the type of debt, but it’s typically between three and six years. The clock usually starts ticking from the date of your last payment. If the statute of limitations has expired, you can ask the court to dismiss the case.

Getting Help: Your Options for Legal Support

When you’re facing a lawsuit, the path forward can feel foggy. You know you need to do something, but what? The good news is that you have options, and you don’t have to navigate this alone. Deciding on the right kind of support depends on your budget, your comfort level with the legal process, and the specifics of your case. The main paths people take are hiring a traditional lawyer, using an affordable legal technology service, or representing themselves in court. Let’s break down what each of these choices looks like so you can find the one that fits your situation best.

The Cost of Hiring a Lawyer

Hiring a consumer protection attorney is the most traditional way to handle a lawsuit. A good lawyer can manage the entire process for you, from filing documents to negotiating with the bank’s attorneys and representing you in court. They can help you understand your rights and build the strongest possible defense. This level of personal guidance can provide immense peace of mind. However, this expertise comes at a significant cost. Legal fees can quickly add up, often reaching thousands of dollars between retainers and hourly rates. For many people, this expense is simply out of reach, making it feel like their only option is to give up.

Affordable Alternatives to a Lawyer

If the cost of a lawyer is a barrier, you are not out of options. The legal field has evolved, and new tools have emerged to make legal help more accessible. There are various sources for free or low-cost legal help, including legal aid societies and legal technology platforms designed to simplify the process. Platforms like LawLaw exist to bridge the gap between expensive attorneys and going it completely alone. We provide tools to help you generate and file the necessary court documents to respond to the lawsuit correctly. Our platform guides you through a simple questionnaire to create a customized Answer document using our attorney-reviewed templates. For a flat fee, our service includes filing the documents with the court and serving them on the opposing party. This approach provides critical help at a fraction of the cost, with our Standard Plan at $70 and our Premium Plan at $199.

Representing Yourself in Court

You always have the right to represent yourself in court, which is known as appearing "pro se." This is the most budget-friendly option, but it requires you to take on the full responsibility of managing your case. You’ll need to research the law, follow court procedures, and meet every deadline without fail. The most critical first step is filing an "Answer" with the court. If you don't, the bank can win automatically through a default judgment. When you fight the lawsuit, the burden of proof is on the creditor—they have to prove you actually owe the money. This can be a powerful position, but it requires you to formally challenge their claims in your written response. While representing yourself is entirely possible, it demands careful attention to detail and a willingness to learn the rules of the court.

How to Protect Your Money and Property

When you’re facing a lawsuit, it’s completely normal to worry about losing your home, your savings, or your paycheck. The good news is that creditors can’t just take whatever they want. There are legal rules and protections in place to shield certain assets from collection.

First, a creditor must win the lawsuit and get a court order called a "judgment" before they can take any action. Even with a judgment, you won't go to jail for an unpaid consumer debt. The law also sets clear limits on what a creditor can seize. Understanding these protections and taking proactive steps are the keys to safeguarding your financial well-being. The most powerful move you can make is to participate in the process instead of ignoring it. By responding to the lawsuit, you keep your options open and stay in control of the situation.

What Assets Are Protected from Seizure?

If a bank wins a judgment against you, they can use legal tools like wage garnishment or a bank account levy to collect the debt. However, federal and state laws protect certain types of income and property. For example, federal benefits like Social Security, disability, and veterans’ benefits are generally off-limits to most creditors. Your state also has its own set of "exemptions" that might protect a certain amount of equity in your home (homestead exemption), a vehicle, or tools you need for work.

These rules exist to ensure you have enough to live on while resolving your debts. Because these protections vary, it’s important to understand the specific limits on what a creditor can take in your state.

Proactive Steps to Safeguard Your Assets

The single most important thing you can do to protect your property is to respond to the lawsuit. If you don't file an Answer with the court by the deadline, the bank can win automatically by getting a default judgment. This gives them a direct path to garnishing your wages or freezing your bank account without you ever getting a chance to tell your side of the story.

By responding, you preserve all your rights. You can challenge the debt, raise defenses, or try to negotiate a settlement for a lower amount. Even after a lawsuit is filed, many creditors are willing to work out a payment plan. The key is to act quickly and formally engage in the court process to understand your rights and keep your options open.

Take Action to Protect Your Rights

Getting served with a lawsuit is stressful, but you have more power than you think. The single most important thing to do right now is to take action. Ignoring the lawsuit is the biggest mistake you can make because it almost guarantees a negative outcome. If you don't respond by the deadline, the court can issue a "default judgment" against you, meaning the bank wins automatically without ever having to prove its case.

A default judgment gives the creditor powerful tools to collect the debt. Every year, millions of Americans are sued for debt, and a staggering 70-90% of them receive default judgments simply because they didn't respond. This can lead to serious consequences like wage garnishment, bank account seizures, and significant damage to your credit score. The good news is that you can prevent this just by responding.

It’s easy to feel like the deck is stacked against you, but the legal system has a key principle that works in your favor: the burden of proof. The company suing you has to show the court that you actually owe the debt, that the amount is correct, and that they have the legal right to sue you for it. It’s their job to provide the evidence, not yours to prove you’re innocent. This is your opportunity to hold them accountable.

You have options, and they all begin with formally responding to the court. When you file an Answer to the lawsuit, you protect your right to challenge the bank’s claims and tell your side of the story. Even if you believe you owe the money, responding opens the door to negotiate a settlement, often for less than the original amount. You can’t negotiate or fight back if you’ve already lost by default.

One of the first steps you can take is to make the bank prove the debt is valid. You can do this by sending a formal request for information. Using a tool like a free Debt Validation Letter Generator can help you create the right document to demand proof from the collector. Taking this step puts the ball back in their court and shows you are actively defending your rights.

Related Articles

• Sued by a Credit Card Company? Steps to Take & Legal Tips
• Getting Sued by a Credit Card Company? What to Do Next
• Sued by a Credit Card Company? How to Respond & Protect Yourself

Frequently Asked Questions

What if I know I owe the debt? Should I still respond to the lawsuit? Yes, absolutely. Responding to the lawsuit isn't about denying you ever had the credit card. It's about protecting your rights and making sure the legal process is fair. When you file an Answer, you force the bank to prove the exact amount they claim you owe is correct, which can be important if they've added extra fees or interest. More importantly, responding keeps you out of default and preserves your ability to negotiate a settlement, potentially for a lower amount or on a payment plan that works for you.

Does responding to a lawsuit mean I'll have to go to court and face a judge? Not necessarily. In fact, the vast majority of debt collection lawsuits are resolved without ever going to a trial. Filing an Answer is the first formal step in the process, and it often opens the door for negotiation and settlement. Think of it as officially telling the court, "I'm here, and I'm participating." This action alone can lead to a settlement discussion with the bank's attorneys, as they often prefer to avoid the time and expense of a full court case.

Can I just call the law firm on the papers and try to settle? While it's tempting to pick up the phone, your first and most important step should always be to file a formal, written Answer with the court before the deadline. A phone call offers you no legal protection. If you only talk on the phone and don't file your Answer, the bank can still move forward and get a default judgment against you, even while you think you're negotiating. Always file your response first to protect your legal standing, then you can safely open the lines of communication to discuss a settlement.

How is using a service like LawLaw different from hiring an attorney? Think of it as different levels of support for different needs. A traditional attorney provides full representation, meaning they give you legal advice, negotiate on your behalf, and appear in court for you. This is a comprehensive but often expensive option. LawLaw is a legal technology platform that provides tools to help you represent yourself. We help you generate the correct legal documents, like your Answer, and file them with the court. We make the process of responding clear and affordable, but we don't provide legal advice or represent you in court.

What happens if I miss the deadline to respond by just a day or two? Court deadlines are incredibly strict. If you miss the deadline, even by one day, the bank's attorney can immediately file a request with the court for a default judgment. Once that happens, you've lost your chance to defend yourself or negotiate, and the court will likely rule in their favor. While there are sometimes ways to ask a court to set aside a default judgment, it is a difficult and complicated process with no guarantee of success. The best course of action is to treat your deadline as absolute.