So many ??'s

[patunia]

I have so many questions I don't know where to begin. Forgive me if this gets all jumbled around.

1. What happens to our income tax refund if received while in the middle of BK? I have to borrow money from family to file the BK and I am planning on paying them back with our income tax refund.

2. I have a court date this friday with a creditor. I have been told whether I show up or not there will be a judgement placed on me. Should I go or just let them place the judement by default? Also how long after should I expect anymore action on this judgement?

This is all so fresh, my head is spinning. I just totally lost all train of thought. I know I have more questions, but can't think of them right now. Those are the two main ones for now.

Any advice would be greatly apprecieated. Thank you

[SMinGA]

After the judgment is entered - it will take some time before they can garnish wages, but whether that is a few days or a few weeks is impossible for anyone to answer. If they know where you're employed, would not take long to serve notice to your payroll department. If they don't know, might take a little time to find out.

As for the refund - that depends. On what chapter you're filing, and how your district/trustee handles it. Its possible all or part could be claimed by the trustee. Best to discuss this with your attorney, as he/she will know your local standards.

[patunia]

I was told that in the state of PA. they cannot garnish wages.
Since I last posted I got another reg. mail today with another court date in August for the SAME creditor. I don't understand that one. The only difference is more court fees. Who should I contact about this?

[SMinGA]

Some states do not allow garnishment - I really don't know what they can do (or cannot) in PA. Other things for you to research is whether or not they can get $ from your bank account after they get a judgment.

I don't know that anyone here can tell you who to contact about legal proceedings going against you. If & when you file, it should stop all of that. If you have not already, meet with a few attorneys to discuss your income, expenses and debts and decide how to proceed.

[patunia]

through many phone calls i found out that they cannot touch my bank accounts if they are joint owned (which they are, thank goodness) because the suit is only against me. I called the courts about the double filing of one claim and talked to the judge. He said he will reschedule and make them come to one court hearing for both. He did not understand either why there was two.
Thank you for your help.

[wonderingrov]

One comment - be careful about the timing of paying back your relatives. Depending on the timing, it could be seen as preferential payment (in which case the trustee could ask for that money). I would discuss those plans with your attorney.

I actually saw one case when I was at my 341 hearing yesterday where the trustee was going to try to get money from a relative that a debtor had paid back recently. Just wanted to give you a heads up on that.