So how screwed am I?

[Brokerthanbroke]

A few months ago we were served - a creditor we owed $42K to filed a lawsuit to get a judgement. We secured a lawyer and he responded. We thought we had a bit of time before the next step. I've been trying to pull everything together for the BK filing. There is ALOT to figure out as both DH and I are self-employed.

I've been SWAMPED and DH is useless when it comes to anything financial. He plays dumb and therefore he holds no responsibility.

I digress....

So we get in the mail today a letter from the county courthouse stating the judge has ruled and the creditor has successfully gained a judgement against us.

Can we still claim it in bankruptcy? Or are we totally screwed! ???

[lrprn]

A few months ago we were served - a creditor we owed $42K to filed a lawsuit to get a judgement. We secured a lawyer and he responded. We thought we had a bit of time before the next step. I've been trying to pull everything together for the BK filing. There is ALOT to figure out as both DH and I are self-employed.

I've been SWAMPED and DH is useless when it comes to anything financial. He plays dumb and therefore he holds no responsibility.

I digress....

So we get in the mail today a letter from the county courthouse stating the judge has ruled and the creditor has successfully gained a judgement against us.

Can we still claim it in bankruptcy? Or are we totally screwed! ???

Well, you sure didn't help your case by being a no-show for the trial...sigh...

Whether you are screwed or not depends on the kind of lien judgment that the judge gave your creditor. Is the lien against one of your secured property assets?

[aa06a47]

I don't think your totally screwed, but I would recommend filing soon.

[Viper]

My immediate advice is to make sure you empty out your bank accounts. It won't be long before they empty them out for you. Start paying your bills with money orders (.95 cents each at the post office). Be sure to get everything together fast and file ASAP. Once you file they can't do anything at all, but until you do they can make your life very stressful.

-Viper

[debtisbad]

The judgement can be thrown in with the bankrupcy. That is what I did. However, I have not looked at my credit report for a few months so I do not kknow what is on it.

[Brokerthanbroke]

Well we retained a laywer to "answer" the judgement and he supposedly did so. We were never told there was a trial to show up to or we would have gone.

[treehugger1]

It is not a requirement in my state that you attend a judgment hearing. However, if you don't the creditor usually "wins" by default. You should have been notified that the issue was going before a judge.

Since I have no assets, it makes no differenceto me whether a judgment has been obtained. However, a wage garnishment will push me into BK. The judgment is invalid at this point an dthe debt becomes another unsecured debt in the chpt 13. You migh want to check you state laws.

[Brokerthanbroke]

We're filing very soon. I wanted a bit more distance between the last balance transfer.

I also needed more time to pull everything together. Only so many hours in a day...

Lawyer is checking into whether it was answered. He had assigned it to an associate. I'll be following up tomorrow. If it wasn't filed, I want my $500 credited toward the BK fee.

[SinkingFast]

Lawyer is checking into whether it was answered. He had assigned it to an associate. I'll be following up tomorrow. If it wasn't filed, I want my $500 credited toward the BK fee.

Myself, I'd get the fee back and look for another attny. If this is how this guy/gal handles a lesser matter, think of the kind of attention your BK might get.

BK is FEDERAL business. You want a saavy, well respected attny by your side then.

[CindyLou]

You can file your BK with only the first 2 pages or so. You then have 10 days to provide your schedules. Ask your attorney about this option. But then you HAVE to file within that time frame or your case is dismissed.