Help! -- My Checking Accout, Car, Garnishment......

[Estabinki]

Hello,

I stopped paying my credit card and auto, in December. I stopped using my credit cars in December/January. Right now, I do not have the money to hire a lawyer, or even make payments. How long can I go before they sue me, or garnish my wages??

I live in Arizona, and bring home after taxes, etc. $2000/month. I just got this job and have had it since January. Although before that I was unemployed and had no income. I had a car in my name, and was planning on including that in the BK, but it was totaled about a month ago. In December, I bought a used car, but the loan and registration is under my fiance's name...this is because I knew I was going to file BK. Should I at least put me AND HIM on title? Or keep it how it is?

I have still not been able to get ahead financially after being unemployed for 7 months, and still not making enough money now. I have a WAMU checking account that I have had for years. I have overdraft protection up to $1000, and it seems lately I go $1000 negative in my account a few days before payday, and then I get paid, and I break even, or have a little money in the positive. My question is....right now I am $1000 negative, and get paid next week. If I stopped my direct deposit, and got a live check, and just did not use my checks, or ATM card, could I include my $1000 negative from checking account in the BK.

Any answers or feedback would be much appreciated!

Thank you!

[epiphany]

Hello,

I stopped paying my credit card and auto, in December. I stopped using my credit cars in December/January. Right now, I do not have the money to hire a lawyer, or even make payments. How long can I go before they sue me, or garnish my wages??

I live in Arizona, and bring home after taxes, etc. $2000/month. I just got this job and have had it since January. Although before that I was unemployed and had no income. I had a car in my name, and was planning on including that in the BK, but it was totaled about a month ago. In December, I bought a used car, but the loan and registration is under my fiance's name...this is because I knew I was going to file BK. Should I at least put me AND HIM on title? Or keep it how it is?

I have still not been able to get ahead financially after being unemployed for 7 months, and still not making enough money now. I have a WAMU checking account that I have had for years. I have overdraft protection up to $1000, and it seems lately I go $1000 negative in my account a few days before payday, and then I get paid, and I break even, or have a little money in the positive. My question is....right now I am $1000 negative, and get paid next week. If I stopped my direct deposit, and got a live check, and just did not use my checks, or ATM card, could I include my $1000 negative from checking account in the BK.

Any answers or feedback would be much appreciated!

Thank you!

Hello. No one can really answer your question about how long it will be until you get sued. Some people get sued after several months, some people get sued after several years, and some never get sued at all. Search the posts on this forum for individual experiences.

Yes, you can include the negative checking account in your BK. But run now to another bank (to whom you don't owe any money) and get a checking account because it will not be so easy to open another checking account later.

My checking account went into the negative due to a creditor repeatedly trying to withdraw their monthly payment. Of course I had stopped paying by then, so I racked up bounce fees. My lawyer told me that we will just include it in the BK.

However, I did stop my direct deposit prior to that happening and opened a checking account at a new bank, and then started my direct deposit into the new checking account at the new bank.

Your car question is complicated. I have some thoughts but am going to let the more experienced members of this forum chime in because the last thing I want to do is give bad advice. But I'm thinking you're screwed either way for different reasons.

Good luck!

ep

[ssdsco]

I had a car in my name, and was planning on including that in the BK, but it was totaled about a month ago. In December, I bought a used car, but the loan and registration is under my fiance's name...this is because I knew I was going to file BK. Should I at least put me AND HIM on title? Or keep it how it is?

[Estabinki]

Thank you for all the help!
In the car that was totaled, I was like 15k upside down, but I had GAP insurance. So insurance paid the actual cash value, and then GAP kicked in. But because I stopped making payments back in December I was like 3 months behind in rent, so I still owe my lender like $1300. As far as the new (well not new, used) car in my fiances name, I do make payments on my car. It is kind of a complicated situation...both of our checks are deposited in my checking account, and between both our incomes I pay all his bills and my bills. The reason for this is because he is unable to open an account at a bank right now, until he pays off some negative charges with his previous bank, which we are working on...I hope that makes sense.
As far as equity in my car right now, I dont believe it does. I just bought it in December and paid 18k, and I did KBB on it, and it is worth like 12k. As far as adding myself to the title, I am not really sure what it would accomplish. I guess it would show the courts that I have more bills, which is why I cant make my CC payments, etc. I had one meeting with a lawyer a few months ago, and he told me to do that, but that is when I still had the other vehicle as well.
Sorry for the rambling....I was hoping to make this short, but its one thing after another
Thank you again for all the help!

[Estabinki]

Epiphany--

Thank you the help!

Why do you think I am screwed either way?? Any insight would be great....
Thanks again!

[Estabinki]

One other question Epiphany, or anyone else who may know...

As far as including the negative checking account in my BK, and since the that is a more recent thing, do I have to wait more time to be able to file. I know like with CC, etc you are suppose to stop charging on them for 90 days before filing, which I have done. But as far as with the bank account, do I need to wait more time now since it is recent?
Sorry for all the questions....I am a newbie to this!

[ssdsco]

Thank you for all the help!
In the car that was totaled, I was like 15k upside down, but I had GAP insurance. So insurance paid the actual cash value, and then GAP kicked in. But because I stopped making payments back in December I was like 3 months behind in rent, so I still owe my lender like $1300. As far as the new (well not new, used) car in my fiances name, I do make payments on my car. It is kind of a complicated situation...both of our checks are deposited in my checking account, and between both our incomes I pay all his bills and my bills. The reason for this is because he is unable to open an account at a bank right now, until he pays off some negative charges with his previous bank, which we are working on...I hope that makes sense.
As far as equity in my car right now, I dont believe it does. I just bought it in December and paid 18k, and I did KBB on it, and it is worth like 12k. As far as adding myself to the title, I am not really sure what it would accomplish. I guess it would show the courts that I have more bills, which is why I cant make my CC payments, etc. I had one meeting with a lawyer a few months ago, and he told me to do that, but that is when I still had the other vehicle as well.
Sorry for the rambling....I was hoping to make this short, but its one thing after another
Thank you again for all the help!

[ssdsco]

I stopped paying my credit card and auto, in December. I stopped using my credit cars in December/January. Right now, I do not have the money to hire a lawyer, or even make payments. How long can I go before they sue me, or garnish my wages??

[GoingDown]

You are way too worried about being sued at this point. There is a huge backlog of cases from defaulted consumer debt. They probably won't sue you for several years, if even then. From my own experience (I've only been sued once, and the rest of my creditors have never even bothered suing me because I'm judgment proof. And the one who did sue me has never even received one penny from me for that worthless judgment.), only a few creditors jump into suing without doing some research on the debtor first-- mainly Capital One. But most of the others will check to see if you have a job (by trying to call you at work on the phone) and they will look at your credit report to see what other things you might have-- car loans, mortgages, etc., and they can easily check with the Maricopa County Assessor's office online to see if you own any real estate. Unless you have something worth taking, they will put you on the backburner or even sell your junk debt to a junk debt buyer. And they typically don't sue unless there's something to go after or they wait until just up to the moment before the debt gets beyond the statute of limitations before suing.

So, sit back, calm down, relax, and get ready to file bankruptcy. You have plenty of time to prepare for it before they file a lawsuit against you.

[luvHm]

On the bank thing.. my experience only, try to keep your account. long story short... my bank account I had at the time sent me a letter telling me to withdrawl my money or I was gonna loose it. they were closing the account on me! a former bank I had, and was not using anymore, had an automatic payment try to come out of it. (payment was suppose to be stopped, whole other story) the bank paid it, but put me neg. somehow I didnt know about it, (prob me ignoring mail, it was all bills i couldnt pay at the time anyway) It ended up being reported to chexsystems. It has been a nightmare with bank accounts since, and writing checks. Chexsystems is another credit report I have negative against me! And banks randomlly check accounts to see if any reports have been reported to Chexsystems and if they have they can close on ya! BUT you can include bank OD protection in BK! But again if you have a good bank account, Id keep it! I will say that the bank that closed on me... I have not heard anything nice about them or there cc's on previous posts! so it may just be them! my two cents good luck!

[Estabinki]

Thank you everyone for all your advice!!

[epiphany]

Hi Binki. I am about to file but since my car is paid for I do not have/will not have experience with this which is why I refrained to answer but the reason I think you are screwed either way (and I could be/hope I am totally wrong) is this:

A. Your car loan and registration is currently in your fiance's name. I am assuming you are paying for it? I don't think that you will be able to claim/use the car expense if you file bankruptcy.

B. If you put the car into your name also, the car becomes part of the bankruptcy and you could lose it. You could also be affecting your fiance's credit as you will have to disclose the asset.

Okay, the above is just my thinking so please take it with a grain of salt and hopefully one of the wizards will contribute, correct me, etc.

ep

[epiphany]

One other question Epiphany, or anyone else who may know...

As far as including the negative checking account in my BK, and since the that is a more recent thing, do I have to wait more time to be able to file. I know like with CC, etc you are suppose to stop charging on them for 90 days before filing, which I have done. But as far as with the bank account, do I need to wait more time now since it is recent?
Sorry for all the questions....I am a newbie to this!

When I read your original post, I thought you were talking about bounce fees, but you are talking about actual purchases, right? In that case, yes, you would be better off waiting the 90 days unless you intend to pay it so it doesn't have the appearance of fraud.

Also, if you are that much in the neg and do not intend to pay, get yourself another checking account NOW, before you find it impossible to do so.

I have read some posts where people have said that after BK is discharged, you can get yourself removed from Chexsystems with a phone call.

Good luck to you,
ep