Capital One serving summons just after Christmas

[themiker]

I was served papers from the lovely Capital One (CO) today and it looks like they will try to file a judgment to garnish wages in the amount of $3967.58. The thing is 2 years ago in Oct, a judgment was filed against me from Discover Card, original debt amount was $16647.26 (since then with post adjudication interest has grown to $23,232.28). Discover is currently garnishing the 25% from my paycheck. The CO papers were dated 12/10/10, leaving me not much time to file an answer (and would've cost me $197, money that I don't have).

I consulted with 3 different BK attorneys: the first one had a horrible attitude, wanted $1800, the 2nd one was much nicer, but still needed $1200, the 3rd one was OK, but still wanted $1200. I don't have that kind of money and I tried asking my parents for a loan, but they can't loan because of mom's medical bills (she has cancer) and both depend on Social Security for income now. I was also told I could try to file it myself using the NOLO books. I did find the books, but found the info just too intimidating to try to file myself.

I was told that if one creditor is already garnishing wages, then the 2nd creditor can't garnish until the 1st creditor finishes garnishment. Is this true? My main concern is that both Capital One and Discover garnish me at the SAME time and I'm going to be very screwed in that situation.

[free2breathe]

You heard correctly. There is a cap on wage garnishment of 25% of take-home income, and the creditors have to get in line and wait their turn.

Have you contacted Legal Aid in your area? Perhaps you can find legal help there for free.

I found this regarding multiple garnishments: "Most of the confusion surrounding wage garnishment occurs when an employer receives more than one garnishment for an employee. The general rule is "first in time, first in right." That is, the first garnishment order gets priority and gets paid first. If the first garnishment is taking the full amount allowed -- 25% -- then the second writ has to wait until the first writ expires (in Oregon, in 90 days). However, if the first writ is not taking the full 25%, then the employer must start paying on the second writ at the amount below 25% that is not being taken. One notable exception is for child support garnishments. These take priority over other garnishments, and will "bump" garnishments that are currently being paid."

[themiker]

I already contacted Legal Aid when I first got served papers from Discover Card and I showed them the summons. I was unemployed at the time, but essentially they advised once I was employed to "let them garnish the wages". Garnishment just sucks though: I just end up in an endless cycle of not being to save up enough for bankruptcy even with 2 jobs. Yeah, I know some BK firms will pay in installments, but I would much rather pay it all at once and not have the stress of worrying about that on top of family (especially mom with cancer) and paying my own bills (food, water, shelter).

[dneil]

Do you get all of your Federal Tax return? They can't garnish the Federal (I think)... so, can you use that to file? If not, what about talking to someone who has filed pro se (here at the forum) that would be willing to mentor you through a pro se filing. It is a thought... perhaps you can find someone else who is Oregon that would be willing to help you out.

[sassiebaz]

Use a paralegal to do your paperwork...if that is your only option!

[btbeme]

If you are that broke, for real, the BK is a paperwork hassle and nothing more. From what I have seen, as long as you tell the truth and make every attempt to correctly file, you would be given the benefit of the doubt by the Trustee - even if you have screwed up the process once or twice. Generally, a paralegal can check your paperwork to make sure it is in order, but I would strongly recommend you use these forums to get the assistance you need in doing most of the work yourself so you know it is right.

Scraping off a judgement and garnishment is more work and more hassle - but some people herein have done just that filing by themselves, so search the forums and get 'er done. Anything beats garnishment - even if the paperwork is a major hassle.

[sassiebaz]

If you are that broke, for real, the BK is a paperwork hassle and nothing more. From what I have seen, as long as you tell the truth and make every attempt to correctly file, you would be given the benefit of the doubt by the Trustee - even if you have screwed up the process once or twice. Generally, a paralegal can check your paperwork to make sure it is in order, but I would strongly recommend you use these forums to get the assistance you need in doing most of the work yourself so you know it is right.

Scraping off a judgement and garnishment is more work and more hassle - but some people herein have done just that filing by themselves, so search the forums and get 'er done. Anything beats garnishment - even if the paperwork is a major hassle.

Agree!