Help Please...questions about how to correctly respond to summons to buy some time.

[karm43]

oh thanks for that info. How do I know if I have exemption i think i have some equity less then 10 percent

[karm43]

What do you mean judgements end up being avoided in bankruptsy. I am getting nervous now, thought you can include them.

[karm43]

Do you know what happens if you stop paying judgements say 2 months before you file. Need the money so I can save it.

[DesdemonaB]

"What do you mean judgements end up being avoided in bankruptsy. I am getting nervous now, thought you can include them."

You do include judgments on your SoFA form B7 no. 4 – if you are making voluntary or non voluntary (garnishment) payments on a judgment they would then have to listed on petition as payments to creditor within 90 days. (Can’t for the life of me remember the form number.) These payments then might be concerned preferential payments and could be concerned assets of the estate turning you into an asset case.

"Do you know what happens if you stop paying judgements say 2 months before you file. Need the money so I can save it."

If you are making voluntary payments on a judgment meaning no wage garnishment and you stop the creditor/plaintiff can request a writ of garnishment with the court that issued the judgment and if granted your wages and bank account will garnished. Once you file all payments should end, if your wages are garnished a garnish release must be filed with the court the judgment was issued before the garnishment will stop.

IMHO I will stop any voluntary payments as close to 90 days as possible, pull any non-exempt funds from any bank accounts, and save funds for a lawyer. You might not make it to filing without a wage garnishment, but every payment you make now could turn you into an asset case. Of course this is just MHO and you should speak to a lawyer regarding your situation.

[catleg]

Depending on where you live, you may be able to file an objection to the wage garnishment motion and delay it for an additional several weeks as a hearing would have to be scheduled. Just thinking of how my own state works.

[DesdemonaB]

Cat is right, in the state of Michigan you have 14 days to file an objections to any WoG and the Garnishee must hold the funds for 28 days (I was incorrect earlier when I said 21) before releasing to the Plaintiff.

A quick Google search came up with the following objections:

funds are exempt
bankruptcy has been filed
payment plan has been ordered
garnishment is too high pursuant to the law
judgment has been paid
garnishment not properly served or invalid

Of course this is all based on the State of Michigan please check with your own state for time lines and objections reasons.

[mckinnea]

Hi my2girls - I emailed you privately before I saw this post. We're dealing with the same credit union. We are responding next week. I am happy to share with you what our response is as soon as I see it. Our attorney indicated that he was planning on questioning all the amounts owed.

We plan on filing in September and he said that our response to the cu would buy us plenty of time for that.

Take care!!!