Bankruptcy Indicators

There is no formula for figuring out when you should file a bankruptcy case. However, below are some indicators you may need to file for bankruptcy: You have debt lawsuits filed (or being threatened) against you You are paying monthly minimums on your cards and the balances are increasing You are struggling to make the minimum payments on your cards You are current on mortgage and car payments but not…

Judgments and Garnishments

A judgment refers to a decision by a court that has been entered into the public record. Before a judgment can be issued, a lawsuit must be filed against you. If you do not file an answer to the lawsuit within the time period required by law (usually 20 to 30 days after service of the lawsuit on you), the plaintiff can ask the judge to issue a “default judgment.”…

What is a Discharge?

What does “discharged” mean? The goal of a bankruptcy proceeding is to obtain a discharge of debts. When a debt is discharged, it is no longer enforceable against the debtor personally. Personal liability When you have personal liability for a debt, a creditor with a judgment can use legal processes, like levy and garnishment, to reach your non exempt assets and earnings even though those assets were not pledged as…