Is my wife judgement proof?

[ivehadit]

we live in ohio, from what i could find it is non community property. we both have cc debt we cannot and haven't paid on since july 07. her cards are in her name only and mine in mine. hers total over 18,000 she received a summons earlier this month from one card which totals 1800. we have a mortgage in both our names which we keep current no equity, she cannot work because of a physical problem and has an old beater car in her name. I can't really file till late fall. i'm thinking if she's not judgement proof she should file bk seperately. i've been reading and to my understanding this is what will happen if she get a default judgement against her.
1. they put a lein against the house
2. they could take her car to sell it (worth less than 1000)
3. they could take hosehold goods to sell

Here's my worries, are my wages subject to being garnished for her judgement? will house hold goods be taken?



Just to make it more dificult I have been part time farming for the past 13yrs and have equipment worth about 20,000 she has had no part of the farm. do you think they will seize it for her judgement? we have no farm ground it's all rented. If she should file now i'd like to see her go ch7 then later i'll file 13 if thats possible. my cc debt is close to 30,000 my take home is 52,000 at my in town job.

[ssdsco]

You have a complicated situation and significant assets to protect so I'd recommend you start the attorney interviews now, learn what you can, and take it from there.

I my state the exemptions for judgments are the same as the exemptions for BK. $2400 in car equity and furniture are exempt from judgments and BK. You may be able to google and find your state's exemptions from judgments.

[GoingDown]

For an $1800 judgment, the most they would likely do would be to seize her checking account and maybe put a lien on any real estate in her name. They most likely will not go after an old car or any household items like furniture and appliances, etc. The cost of hiring an attorney to file the necessary paperwork, and then hiring a sheriff to go out and sift through personal belongings would cost them more money than they would ever get from the auction of those items. Not to mention that in most states a sheriff has no right of entry into a person's home for a civil (consumer credit card, etc.) judgment. You would have to voluntarily answer the door when the sheriff came and invite him to step inside your home, like a vampire. And as for the old car, only the most extreme judgment collectors ever stoop to taking someone's old car, and most of them can be frightened away by calling the police as soon as they come to your front door and threaten to take your car. It is so rare, it is not worth worrying about. I have a judgment against me and an old truck, and the judgment creditor has never even tried to take my vehicle. Never even threatened it. They don't want it. It would cost them more to seize it, transport it, store it, insure it, and then auction it than it is worth. It all costs money, and they would rather go after easy targets like checking accounts, savings accounts, real estate with significant equity, stocks, bonds, etc.

[ivehadit]

thanks for the replies, one thing i forgot to ask, if we're counting on her being jugdement proof is their really any sense in answering the summons?

[ivehadit]

Why not just strike a deal with them to make a settlement offer to pay it? I mean based on what you have said, paying $900 or so should be doable vs. paying to abate the judgment later by your attorney. Its a cost vs. effect deal. Sure it might be dischargeable but it will also cost you some $$ to have your attorney vacate the judgment later. Also it could cost you some $$ to fight off any attempts they might try to attach to your property or bank accounts. What I am trying to say is this, for a small amount like $1800 you can easily spend 1/3 to 1/2 of that later trying to protect yourself from it or vacate it. So why even let it get that far now? JMO

Great idea,, It did cross my mind and i'm going to attempt that

I was under the impression a judgement wouldn't be a big deal to get removed with bk.

[woeisme]

It didn't cost me anything extra to get 3 different judgements voided when we filed BK. One was actively garnishing wages, the other two were waiting in line behind the 1st judgement, when the 1st finished getting paid the next would start garnishing, etc. It was just part of my regular fees that I paid for the BK filing to my lawyer. I'm CH 13, so don't know if that makes any difference.

[ivehadit]

I talked to the attorney representing the cc, I could not get them to settle for less than 1600, looks like she's headed to have a default judgement against her and we'll be looking for a bk attorney to see what the options are.