I have come to the point where I am working two jobs just to make the minimum payments and going nowhere. I just can't work both jobs and all of the overtime anymore. I am current on everthing but just squeeking by. If I file bankruptcy now, my payment plan will be pretty high and when I quit working the 2nd job and the additional overtime there is no way I will I would be able to continue the high payments. If I quit working the 2nd job and overtime for the next 6 months to prepair to file, I will not be able pay on my unsecured debt and I will probably have my wages garnished. What do I do?
-
-
If you are current on everything now, then there is almost no chance that your wages would be garnished within 6 months. It simply takes longer than that for creditors to act and for all the legal proceedings to take place.Originally posted by mstgkillr View Post -
1st - wages cannot be garnished unless a creditor files a lawsuit and obtains a judgment. That takes time. 2-3 months from filing the lawsuit potentially. No way to know how many payments you need to miss before that is possible, but I'd wager at least 3-6.
If you are certain you will be filing bk - stop making payments on unsecured. Start saving $ for an attorney, and to take care of anything you have neglected. (Such as home & car repairs, medical/dental needs.)
Start living on a cash budget and schedule consultations with a few attorneys. Don't plan to hire one just yet - learn about your options.Get mortgage modified: DONE! 7 months of back interest payments amortized, payment reduced over $200/mo
(In the 'planning' stage, to file ch. 13 if/when we have to.)Comment
-
One of my creditors is a credit union and a lawyer told me they can garnish your wages after 3 months but maybe I didn't understand correctly. Before I spoke with a lawyer, I was thinking it would take 3-5 months just to get to collections and once in collections it would take 3-6 months before they would sue.Originally posted by NoTomatoCan View PostComment
-
Should I quit my 2nd job and overtime for at least 6 months before I file? Or just file now?Comment
-
I would not quit the job as a first step, if I could actually handle working it a bit longer. That is just me, I won't pretend I am in your shoes.
About the credit union: if you have banking with them and direct deposit, etc. then it would be good to open an account elsewhere (some place where you have no debt accounts) and move your direct deposit. A CU might be able to take funds from a checking account to pay a debt without a judgment, but I'm not sure.
I would not file now. Take some time to plan, take care of things you may have been neglecting, and figure out how to live a cash only lifestyle. That may take a little trial & error, better to do that before filing.Get mortgage modified: DONE! 7 months of back interest payments amortized, payment reduced over $200/mo
(In the 'planning' stage, to file ch. 13 if/when we have to.)Comment
Comment