only income is govn. pension, only assets are approx $20,000. equity in house and 5 yr. old car. Can creditors force the sale of the house and car. Debt load is $60,000 plus mtg. Why bother with bankruptcy if creditors can't touch pensions and can't force sale of property, no equity left after lawyer and real estate fees.
2006-09-04 08:28:34 · 11 answers · asked by worf 1 in Business & Finance ➔ Credit
You have some extremely poor answers here...especially sophieb and boj12345 (our banker friend).
First note that each state has differant laws governing what creditors can and can't do after a judgement. Some prohibit garnishing wages. Others grant generous exemptions on property. So without knowing exactly what state you live in, I can't give specific advice.
I do know that they can not go after social security and pensions (as sophieb claims....you have a source for you info?). Those are specifically prohibited by US law.
Creditors of unsecured debts (credit cards) can place liens on your home, and repo your car or property. But there are other ways they prefer to collect.
Wage Garnishments is the easist. Going after bank account works good. They can get your STATE refund checks (They can't tough Federal checks).
Your situation is a bit more difficult, because with $60k in debt you are going to have some serious problems. You do have a lot of equity in the home and that will offer a nice target for this much debt.
You do need to discuss your situation with a bankrutcy attorney. Being on a pension, your income would qualify you, but you may have an issue with the home equity. Only a BK attorney can advise you, once he sees your whole situation.
Wish I could be of more help.
2006-09-04 10:22:02 · answer #1 · answered by Anonymous · 0⤊ 0⤋
You should visit CREDITVAULT.NET- I am sure here you can find the best option for you
RE What can creditors do if you can't pay and have limited income?
only income is govn. pension, only assets are approx $20,000. equity in house and 5 yr. old car. Can creditors force the sale of the house and car. Debt load is $60,000 plus mtg. Why bother with bankruptcy if creditors can't touch pensions and can't force sale of property, no equity left after lawyer and real estate fees.
2014-10-15 21:45:17 · answer #2 · answered by Anonymous · 0⤊ 0⤋
They might just write it off but make sure they cannot touch the house with a lien. If you ever wanted to move, you couldn't. If you ever needed a home repair loan, you'd be stuck again. Also, down the road if you ever want or need a reverse mortgage to help pay expenses, there's not a shot. You should check with an attorney on what they can and cannot do just to be on the safe side. Your initial consultation should be free... what do you have to lose? A creditor cannot go after social security but I believe they can go after a pension which is how older people are able to secure mortgage loans. Check it out.
2006-09-04 08:35:04 · answer #3 · answered by Anonymous · 0⤊ 0⤋
as President Clinton once said, when you're in a hole, stop digging.
Creditors CAN touch some pensions, and they CAN force the sale of property. They CAN also touch SS and SSD and IRS tax refund, etc.
This past year also the law was changed that people who file for bankruptcy Chapter 7, well the judge scrutinizes it very carefully and if there is any way at all that funds can be repaid even in part the judge will put them into Chapter 13 to repay the debts.
Sell some stuff, even on ebay, and get a business going for yourself to pay at least part of the bills.
2006-09-04 08:36:48 · answer #4 · answered by sophieb 7 · 0⤊ 0⤋
If your creditors are unsecured, then they can do nothing but write off the debt... and do a number on your credit. If the debts are secured, such as your car loan, the creditor can reposess your car, after giving proper legal notice (usually 30 days). Your mortgage lender may file for foreclosure on your house, but declaring bankruptcy will stop the foreclosure proceedings. If your creditors are unsecured, such as credit cards, may I suggest you contact Consumer Credit Counseling Services, Inc. or another not-for-profit credit counseling service. they will negotiate on your behalf to lower payments on unsecured debt to a number that you can manage within your income, and when debts are repaid, they will assist you in re-establishing your credit.
2006-09-04 08:46:05 · answer #5 · answered by boj12345 2 · 1⤊ 0⤋
The creditors can get a judgement in court and make your life
tough for a long time. Once they have a judgement, they can tap
your bank accounts, wages, and on and on. I am speaking from
experience!!! The bankruptcy is tough but sometimes the only
viable option to get the wolves off your back!!!! I wish you the best
because I have been there my friend!!!! My heart goes out to you!!!
2006-09-04 08:38:12 · answer #6 · answered by Mon-chu' 7 · 0⤊ 0⤋
ok, appears like you're operating good and puzzling attempting to advance your situation. Atta female. Now study issues realistically. Your lease is paid actual? you pays off the student loans over a lengthy era of time. have you ever referred to as them about getting them prolonged? you're waiting to artwork. it really is sweet. It appears like you're doing actually ok, yet you're not any more the position you want to be. no human being is. truly of devoting a lot time for your agency, why no longer get an more effective activity which will assure you money? you've skills and there is a lot of temp agencies that ought to nicely be fortunate to have you ever aboard. artwork on your agency area-time. even as (and if) that is large sufficient to be the total-time residing pass with it. And record each and every of the human beings who pitched you their pyramids. they're attempting to take great element about you. do not stand for it!
2016-12-06 09:41:58 · answer #7 · answered by schexneider 4 · 0⤊ 0⤋
Creditors can sue. In some states, they may not be able to attach your house but it will certainly have a lien on it. They can go after your pension and any other equity you may have.
2006-09-04 08:34:18 · answer #8 · answered by williegod 6 · 0⤊ 1⤋
Initially they can set bill collecters on your trail, and another possability is take you to court and let the judge decide wether you can or cannot pay.
2006-09-04 08:34:01 · answer #9 · answered by barbara596 2 · 0⤊ 0⤋
They can sue for judgement and if you lose, they can garnishee your income, force you to liquidate your assets so that you can fulfill your financial obligations.
2006-09-04 08:39:43 · answer #10 · answered by Anonymous · 0⤊ 0⤋