Senior Citizen with many debts.....

[svoboda70]

Hello. I have been a lurker here for many months and have marveled at the information that is available. My story is: I am 73 years old, my husband of 78 just passed away last month, and I am in unbelievable debt. My CC's are at about $49000. My husband and I have been living on SS for 12 years and we obtained all this credit during this time. We always paid on time. We have excellent credit./ After my husband passed, I went a little crazy and charged quite a bit, in fact I overdrew on one account. Now they just want me to come current and pay the overage. I am still paying on CCs, but I want to quit. I can't keep this up. I want to cut up all the cards and stop charging and stop paying. I paid a dentist large amounts. I withdrew some $4000 in cash for extra cash. I am ashamed of myself and wish that I had not done some of these things, but it's done. Could I just quit paying and suffer through the agony of phone calls, or can they take me to court or place liens on my mobile home? I will be living on $1200 SS per month. Please help!

[AngelinaCatHub]

Join the Senior Citizen club. I too am a Ss, but only 65. Just a youngster.

Now to business, you are 73, with no dependents I assume, and what state are you in? If FL or TX or the states with a homestead law, they cannot go after your house. They can put a lien on it and upon it's sale, would collect in some way. You are not Judgment proof, but certainly sound collection proof. They cannot levy on your SS. You are a prime candidate for ignoring the cards. Change your phone number and change your bank and keep a very small balance. In the event you get a judgment against you, they can harass you in making you submit all of your possessions and bank accounts. This is discovery for attempting to levy. Do you have a paid for car? In FL it is collection proof if valued below $1,000. Above this, they can get a writ of attachment and sieze and sell it.

It could behoove you to think of a C 7 bk. You would be a smooth ride and none of that other stuff will happen.

The bad part is taking that very huge 4K cash advance. If you have much of it left, pay it back to that creditor, and advise this on your forms. If you do not have it, this could be a problem in bk. What did you use this for, if I may ask? If it were for necessities or a funeral, that could be an out. If for junk, then a problem. We would need more info. State of residence and reason for cash advance would help. 'Hub

[AngelinaCat]

Hello Mrs. svoboda70. Welcome to the Forum. First, please accept my sincere condolences on the passing of your husband.

Before anyone can offer any type of informed suggestions, we need to know a little more information first:

What state are you living in?
Do you own or rent your mobile home?
Do you have any other type of income other than the SS?
Did your hubby's SS stop when he passed, or do you get a 'Widow's Pension'?
Do you have any family members that might be joint owners of anything with you?

That is all I can think of right now. Just looking at what you put in your single post, you look like a straight-forward Ch7.

If you are seriously thinking of filing, you need to stop using the cards, and paying them. You will need to wait at least 180 days or six months to file to let these splurges in the last month age out. Depending on what some of the charges were, and where some of the cash went, this advice might change.

My very best wishes~~

[svoboda70]

Senior Citizen with many debts.....

Thanks for your responses. My mobile home is paid for, my car is paid for, and I live in New Mexico. I don't want to file bankruptcy just yet. I want to let everything age, as someone said, and I don't want to charge anymore. The cash was for groceries, and miscellaneous expenses (new clothes, household items and just to have a few dollars in my pocket for gas, etc.). Can I just let everything go. I know I will probably be inundated with phone calls, etc., but I think I can handle that. I'm scared to death, but what can I do?

[NoMoreCards]

I know you will have the correct answers with AngelinaCat & Hub helping you, but I wanted to pass on my condolences on the passing of your husband.

[svoboda70]

I forgot to mention that I am a disabled person. I have emphysema and have to usde oxygen 24/7 at a pretty high rate. Do you think the creditors would be less apt to make my life too miserable. I know I sound like I don't want to own up or go through a whole lot of trouble and I deserve to, but I am fully aware of how horrible this whole thing is and I wish I could pay everyone. I'm just so afraid I will go to jail or liens will be placed on my house or car.

[whipster1]

3 things to start with:

Change your phone number.

Change your phone number.

Also, CHANGE YOUR PHONE NUMBER!

Now, I don't know NM exemptions but since they were once part of TX they may be generous...

Your SS money is NONCOLLECTABLE in every state. They cannot get at it.

Let things age a bit due to the cash advances and PUT THE CARDS IN THE SHREDDER.

Oh, also you don't need to pay any credit cards anymore.

You may qualify for a pro-bono case with your local Legal Aid, you may want to call them.

[AngelinaCatHub]

Your cheapest, and best bet is to stay here and keep us informed. We have two (Unofficial) super lawyer members who give advice (ONLY) who would give you suggestions.

The only error I can see is the large amount.

Now for a true story: (I do this a lot) My Mother, who with her SS of about $470 a month, paid for MH and divorced from a young jigilo, had perfect credit all of her life. She was SOOO VERY proud of this. Now in her very latter years she suffered COPD, and as a former immaculate housekeeper, had 67 cats, 22 in the house, she was spending $160 on cat food.

She had no choice and wrote a heart felt hand written letter to her two CC creditors explaining her situation and that she could not pay them and it broke her heart. This was 1999 (the year of her death). At that time, they no longer billed her, and never called her again.

I doubt this would happen today, but she actually addressed this to the C.E.O. of that card. I do not know the cards.

'Hub

[OHBOY]

They cannot levy on your SS.
Change your phone number and change your bank and keep a very small balance.

It could behoove you to think of a C 7 bk. You would be a smooth ride and none of that other stuff will happen.

The bad part is taking that very huge 4K cash advance. If you have much of it left, pay it back to that creditor, and advise this on your forms.
'Hub

__________________________________________________ _______________

With all due respect, from everything I have gathered on this forum ( and from other readings), it may be worthwhile giving a direct debit card consideration instead of keeping a bank account open as that could still be 'cleaned out' by a creditor with a judgement, and than it's a costly and time consuming process to get the SS monies that you had in there back.

Personally, I am taking pro active steps, closing my bank account ( so as not to be charged some possible $ 200+) by the bank for a collection order.

I am enrolling into 'Direct Express' so that all of my SS goes into their debit card. As several others have pointed out ( in previous threads), it's VERY cost efective as you can walk into any bank in the US and withdraw your money from the card for FREE, ect.

Also: even IF you had any $'s left I would first talk with an attorney ( free 1/2hr consultation) about making any possible 'repayments' as he MAY tell you that this would possibly be a 'preferencial payment' ????

Don't know what the homestead rules are for NM, but a "judgement lien" on a homesteaded property in FL, is in reality, and for all practical purposes, meaningless and no 'judgement lien' at all, as only tax liens, mechanic liens, or support judgements have any real adverse consequenses on homesteaded property, if you stay on top of things with i.e. filing a 'Homestead Declaration' before judgements, or give the judgement lien holder their 45 days at time when you sell or refi to dispute/challenge you homestead declaration.... which would be quite useless....


...just my humble, layman, non attorney opinion and 2 cents as I am trying to 'stew' through all of your an my problems ....

[music12]

i think the SS payments have an option of putting them on a card instead of direct deposit. do that.

i have a feeling you will feel better if you do file rather than if you just stopped paying. feeling better extends a person's life... so that's a consideration beyond whether you are judgment/collection proof.

[AngelinaCatHub]

I'll go the card bit. I didn't know you could do that. Sounds safer to me also. I agree, the Op should consider talking to a lawyer and getting a 'take' on that large withdrawal. It's possible that it could be explained and not affect a simple bk. Except for that situation, her bk would be a non-event. 'Hub

[svoboda70]

What would happen if I made a few more payments on the card which has the $4000 transfer? Maybe pay 2 more months and then let everything go. Any thoughts? Would it be like preferential payments?????

[calgirl67]

I am so sorry about you losing your husband.

As for the creditors giving you a break because of your age and medical condition... forget it.

They are absolute bottom-feeders. I tend to think the creeps would go after you MORE as they would think you were an easy target and would cave in fast.

They do not care if you are dying, are grieving, are 9 mths pregnant, etc. My husband works in emergency services and they have called his worked trying to get him PAGED. Scumbags. This is after they have been informed in writing and on the phone NOT to ever call him at work.

If I were you I would file Ch 7 BK ASAP. They will never leave you alone. Start afresh and enjoy your golden years in peace.

[AngelinaCatHub]

I am so sorry about you losing your husband.

As for the creditors giving you a break because of your age and medical condition... forget it.

They are absolute bottom-feeders. I tend to think the creeps would go after you MORE as they would think you were an easy target and would cave in fast.

They do not care if you are dying, are grieving, are 9 mths pregnant, etc. My husband works in emergency services and they have called his worked trying to get him PAGED. Scumbags. This is after they have been informed in writing and on the phone NOT to ever call him at work.

If I were you I would file Ch 7 BK ASAP. They will never leave you alone. Start afresh and enjoy your golden years in peace.

I have to agree with 'Calgirl" so save those two payments for a lawyer. Get yourself completely at ease. Just guessing will not do that. Only action. Tell all you know and let the lawyer worry for you. That is part of his job. (told to me by a good lawyer). 'Hub

[shabam]

My husband works in emergency services and they have called his worked trying to get him PAGED. Scumbags. This is after they have been informed in writing and on the phone NOT to ever call him at work.

That is just ridiculous. Which creditor is doing this? Must be a collection agency, as they seem to be quite lawless.