HI

You can still file bankruptcy and the lawsuit can be discharged if you qualifiry for chapter 7 (if lawsuit is not alleging any fraud, etc). You would need to contact an attorney to calculate the "means test" on your income to verify you qualify for Chapter 7.

If the plaintiff in the lawsuit is subpoaening your bank records, it probably already has judgment against you and is trying to locate your assets. Definitely, a Chapter 7 bankruptcy would be worth considering. Since you have no equity in your house and your vehicles are older, you probably need not worry about losing them in bankruptcy (although if you've received a notice of foreclosure on the house, that's another story). Bankruptcy discharges all unsecured debts, with a few exceptions -- debts incurred through fraud, debts for child support, debts arising from intentional injury caused to another, debts arising from driving while intoxicated, among others. It also stops collection on judgments, including subpoaenas of any documents.

Feel free to contact me by e-mail for an evaluation of your financial situation.

As mentioned above , there would be no reason for the creditor to be subpoenaing bank records prior to getting a judgment. So, it's likely they already got their judgment and they're looking to collect on that judgment. So, it's not too late to file your BK. To the contrary, you should be getting this BK filed ASAP. Feel free to contact me if you have additional questions, my consultations are always free.

Todd Mannis, Esq.

Tel: (805) 526-1115