North Carolina Law

[HappyCatNC]

I am in the "paperwork" phase of filing for chapter 13 in the state of North Carolina.

In the course of my research, I've found two things interesting about debt in North Carolina.

1 - North Carolina is one of four states that do not allow garnishment of wages for consumer debt.

1 - The Statute of Limitations for credit card debt is three years.


Any Tarheels wanna chime in on this, and it affected their decision to file, or not file for BK in NC?

Pardon my ignorance, but does that mean that if I have only credit card debts and no assets to protect - that I'd just have to sit tight for THREE YEARS and then the CC companies can't touch me?

We make just over the amount to file Chap 7 for a family of five and will be forced to do a 5 year Ch 13 plan. Three years > Five Years.

Thanks for input, BK forum-goers are the best!

HappyCatNC

[BNKRPTinNC]

.......Pardon my ignorance, but does that mean that if I have only credit card debts and no assets to protect - that I'd just have to sit tight for THREE YEARS and then the CC companies can't touch me?
HappyCatNC

You may be correct, assuming the cc company does nothing in an attempt to collect the debt. However, I would think that in that time frame there would be a suit filed and a judgement rendered and how many years is that good for? Speaking only from logic, if that were truly the case everyone would be ringing up debt and wait a few years for it to politely go away.

Not likely.

[SMinGA]

Yes. If they don't take legal action in 3 yrs that is. But if they file and obtain a judgement within 3 years, it can sit dormant just waiting until you do own property. Judgements last 10 years and can be renewed.

[flyinbroke]

I am in another state that cannot garnish wages, and can't touch most of your belongings as most of it is exempt. I own squat. SOL is 4 years. I am able to pay 13 of 18 accounts, so only 5 are currently behind. Even with paying these 13 accounts, the end leaves me with enough cash to live on (possibly more than a 13 would.)

Yes, I have talked to attorneys and found one that may have a workable plan, and no I am not ready to push the "nuke" button yet. I may try to ride the storm out for a spell and have the option of pushing the button down the road if need be.