I lost my job due to the company closing. I have been unemployed for about 9 months. I have two credit cards, with interest and fees tacked on the one card is about $5000 and the other is about $3500. I received a summons for a judgment on 2/1/07 on the $3500 debt that I must respond to within 20 days and the other is about to send a summons for a judgment. I started a new job 1/19/07 at $9.00 and just changed to a better job 2/5/07 at $12.00 an hour. I do not want any wage garnishments due to these judgments. Because my income was so low over the past six month, I meet the means test to file for a chapter 7 bankruptcy, but my new current income may present a problem when the trustee reviews the current income information in the bankruptcy petition. I haven't even received my first paycheck yet on the new $12.00 an hour job! I have worked at the other job for 3 weeks at $9.00 an hour. I'm wondering if I should try and file Chapter 7 or Chapter 13 bankruptcy or what? I don't have a 401k or IRA, I am a renter ($440.00 a month) and my 1995 Buick is paid for (but has a value of approx $1,000). My Federal tax refund will be $134.00. I have no savings or other sources of income. What would you suggest?
1 Answer from Attorneys
I strongly suspect from the information in your post that you would qualify for a Chapter 7 bankruptcy. I recommend that you contact an experienced bankruptcy attorney for an in-depth evaluation of your situation; many offer free initial consultations.
One good source for consumer bankruptcy attorneys is the National Association of Consumer Bankruptcy Attorneys. Check the website at nacba.org.
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