Legal Question in Credit and Debt Law in Wisconsin

Yes, the law which you can state to the collection agency in your defense is called the United State Bankruptcy code, which provides the best protection imaginable against creditors. If you do nothing, however, general unsecured debts such as credit cards are 100% dischargeable and simply disappear. If you allow judgments from credit cards to become liens against your house, you will need to pay them when you eventually sell the house, even after you have filed bankruptcy if you do not again protect yourself by going back to court afterwards to get them removed. You should therefore protect yourself by consulting with an experienced bankruptcy attorney rather than using up what little money remains in your retirement accounts, which you will probably need to support yourself in the future. Retirement accounts, as well as up to $150K in home equity, can be retained by you after filing bankruptcy if they are properly claimed as exempt. Short of this, judgment creditors can pretty much make whatever collection demands of you that they wish.

Do not assume that I am your attorney due to this answer, but feel free to call my office in Racine (262-633-3090 or email [email protected]) for clarifications or further questions. I would not normally be taking any further action on your case without your making additional arrangements. See me on the web at www.jayknixonlaw.com. View my past answers at http://www.avvo.com/attorneys/53401-wi-jay-nixon-1529181/answers.html?sort=recency , or http://www.lawguru.com/answers/search/attorney/jknixon.