What happens if you DON'T file for bankrupcy?

[merime]

I have to file for bankrupcy. Iam being sued and have a Jan31,2011 court date with Citibank. I only have my name on a mortgage. My bank just cut off my credit line, so I will not be able to pay the cc from my bank. I have tried debt counceling and they say file. Problem is It costs $1,600 and $299. I only make $710 a month. I figured I could save $400 a month and be able to file at the end of February. I don't know what to do. What will happen in court with Citi and if others will sue before Feb too. Any advice or help is so greatly appreciated!!

[doni49]

Well as far as the filing fee goes, you can apply to have that waived and/or pay in installments. If you only make $710 a month, maybe you'd qualify for free legal aid? Seems to be worth looking in to.

P.S. if they do file and win, they'll have a judgement agaist you. But if you don't have the funds to give them, that judgement and a dollar will get them a nice sweet tea at McD's! Plus when you file (assuming you DO wait until Feb to file), you can still include those debts in your BK. Is this an unsecured debt you're being sued over?

[keepmine]

Your problem isn't debt or being sued but, lack of income.
You have nothing anuyone can take and NC does not allow wage garniushment.
I'd suggest getting a paper check and using cash until you get this sorted out.
Focus on being abke to support yourself first and put the bk on a backburner. Bk will always be an option-just get a basic safety net under you first.

[tobee43]

yes the atty that i had did pro bono work....and you can find a referral through your local legal aid office.

here's the very worse scenario and it's NO big deal....

let's say they sue you and get a judgment...well you include them in your bk...then get discharged and then you back to the atty and they will have to file separate motions to vacate each judgment...that usually cost per motion, however, if your a pro bono case it will not cost you, or they will charge you on a sliding scale.

do not wait....call your legal aid office asap...

[merime]

I don't understand? What legal office, what legal aid? There is none. I do not know who to call. I left voicemails on what appeared to be legal aid listings in courthouse. I never get an answer. I truly have no idea what to do. The stress is killing me. Iam being sued in Jan and have to save for the bankrupcy, which will take until March. Even then, I have a cc with BoA and may have to pay 224 a month so they dont go after house until I figure out how to do this all. I can't do this anymore. I live on 710 dollars for 3 kids. I cant afford a lawyer and I have no idea how to find any help at all. They say that there is no debters prison. Not true-i feel like the walls are closing in. Thanks for trying to help.

[doni49]

I don't understand? What legal office, what legal aid?

http://www.legalaidnc.org/

[doni49]

If all else fails, most lawyers will give you a free initial consultation. You could sit for one of those, tell them your situation and they may say that they'll take your case pro-bono (free) or refer you to the local legal aid.

[merime]

Thank you!!!

[doni49]

NP. Glad to help. Post back later and let us know how things work out for you.

[tobee43]

I don't understand? What legal office, what legal aid? There is none. I do not know who to call. I left voicemails on what appeared to be legal aid listings in courthouse. I never get an answer. I truly have no idea what to do. The stress is killing me. Iam being sued in Jan and have to save for the bankrupcy, which will take until March. Even then, I have a cc with BoA and may have to pay 224 a month so they dont go after house until I figure out how to do this all. I can't do this anymore. I live on 710 dollars for 3 kids. I cant afford a lawyer and I have no idea how to find any help at all. They say that there is no debters prison. Not true-i feel like the walls are closing in. Thanks for trying to help.

your county should have a referral for you for legal assistence...also what doni says....set yourself up with a consult and explain your looking for a pro bono atty.

you can also pick up the phone book and call your local, or county or state bar assoc. for atty's that will help you in your situation.

i wish you the best of luck!

[merime]

Yes unsecured debt. There is just so much to think about. Which is worse a judgement or bankrupcy? My husband took my name off all savings and checking accounts. I do not need him getting angry because account gets frozen. Iam so stressed, but I am calling the legal aid dept monday. Its so hard. Lawyers say one thingg, quote an estimate, but say it can cost more. I don't have more to give. Its so scary. Thanks for all the support everyone!!

[tobee43]

Yes unsecured debt. There is just so much to think about. Which is worse a judgment or bankruptcy? My husband took my name off all savings and checking accounts. I do not need him getting angry because account gets frozen. Iam so stressed, but I am calling the legal aid dept monday. Its so hard. Lawyers say one thingg, quote an estimate, but say it can cost more. I don't have more to give. Its so scary. Thanks for all the support everyone!!

actually, if you qualify for a no asset chapter 7 it's better than any judgment. depending on what type of judgments some are good forever and a day....20 years etc...whereas, a no asset, chapter 7 will wipe your slate clean.

let us know how you make out with legal aid....and remember it will NOT be an easy task...you are going to need to be persistent!!! you can do this!

[Flamingo]

I don't understand? What legal office, what legal aid? There is none. I do not know who to call. I left voicemails on what appeared to be legal aid listings in courthouse. I never get an answer. I truly have no idea what to do. The stress is killing me. Iam being sued in Jan and have to save for the bankrupcy, which will take until March. Even then, I have a cc with BoA and may have to pay 224 a month so they dont go after house until I figure out how to do this all. I can't do this anymore. I live on 710 dollars for 3 kids. I cant afford a lawyer and I have no idea how to find any help at all. They say that there is no debters prison. Not true-i feel like the walls are closing in. Thanks for trying to help.

If you live on $710 per month and have three children, you qualify for government aid unless this $710 you are referring to is child support for your three children and you have another source of income for yourself. The BEST thing to do right now is get a free consultation with a BK lawyer in your state/area. Find out where you stand and what you can/cannot do. $710 per month is poverty level. You would qualify for all sorts of assistance. The main thing you have to do right now is figure out where you stand and what you can/cannot do in the state in which you reside and you need to figure out how to support yourself and your family and that would be applying to get government assistance. Best of luck to you...

[DaddyDavid]

Have you told them, Citibank, you have income of 710/month? If they know thaat they will not sue you, since they have nothing to gain even if they do win a judgment. No reason for you to spend 3 month's worth of your income to prevent a suit that will be uncollectable anyway. They may have seen something on your credit report that made them think you make more $ or have assets they can go after, FYI.

[DaddyDavid]

Other than that, debts have a statute of limitations-

in NC that is 3 years for credit cards, after that the deebt is not legally collectible. I allowed that to happen, in my state, decided not to spend the $ to file, and 100's of 1000's of debt are now past statute of limitation- but by doing that my credit report will clear up faster than if I had filed BK! So decide if you wanna save your money and ride it out?