trying to decide what to do....

[momof3fromoh]

At first I was all for the idea of filing bankruptcy- but then after looking at our total debt- it really is not too high... but here is what I'm running into problems with- I have a really old credit card- that was bought by someone else- that just served garnishment paperwork to my work... I can NOT afford that- the overall balance is almost 4,000 dollars. The other thing - we have a handful of medical bills being managed by a lawyer that we pay 125 a month- we can not afford that either- since we are down to pretty much one income (I work part time - hubby is FT)

We have a charged off bank account = 1700 dollars Then probably about 5-10,000 more in debt... (some charged off credit cards- 2 current credit cards, some odd and end medical bills)


Has anyone ever contacted the people they owe- and said something along the lines- we are just about being forced to file bankruptcy- I can only afford to send you 25.00 a month- has that worked for anyone?.? I'm just trying to decide if bankruptcy is the best route to go...

[SMinGA]

I see in another thread you said you work pt & your spouse works ft. Is the garnishment just on you?

Most states have limits on what can be garnished. What state are you in? In GA for example, weekly net wages of 30 times the minimum wage, or $217.50, would be safe from garnishment. So if you were in GA and your weekly net is less than that - nothing can be garnished. If over that, the amount over $217.50 up to 25% of the net pay can be garnished.

[momof3fromoh]

we live in ohio. I do work part time. I work what is called contingent. I only work maybe 1 -2 days every 2 weeks... sometimes not even worth holding the job. I'm in school for nursing and I'm set to graduate in dec 2011.

the garnishment is only on me. when I pulled my credit report it says the debt is individual - it is not marked as a joint debt.


I think bankruptcy is the fresh start we need, but I'm concerned about our house. We can afford it- but we have not paid on time in a long time.... We'll get caught up- then we'll fall behind... then we get caught up.... then we fall behind... I'm afraid they'll try to do something with our house.... we will have the house payment current when/if we file.


thanks for your help

[Exployer1234]

I received a garnishment that was in April. I went ahead and filed BK, because I am going through the same thing. I could not afford the garnishment. I tried for 3 months to work with the creditor. I had a garnishment on a car loan, I told the creditors lawyer I could not afford 130 dollars a month and would be forced into BK if they could not work with me. They would not bend and went ahead and proceeded with the garnishment. The garnishment was for 300 dollars of month. 4 days later I filed BK. I don't know what they were thinking, if I could not afford 130 dollars a month then how can I afford 300 dollars per month.

You can try to see if they will work with you, but if some creditors know you can not pay the amount they want and they think you are going to file BK, they will go ahead and push through with the garnishment in hopes to get the money before you are able to file.

I know in my state the creditor can take 25% of your disposible income. This is anything after taxes.

[blessed]

If you're in NE Ohio send me a PM and I'll give you the name of an awesome attorney.

IF you got rid of all the debt minus the mortgage payment could you keep up with it and be okay? That was one of my deciding factors. If you stop paying all these unsecured payments you'd probably have enough for the house and then some.