Judgments & Filing for Chapter 7

A bankruptcy will stop any and all collection activities, including judgements.

In general, Desperately is right.

Under extreme circumstances, those creditor might be able to motion the bankruptcy courts to modify the stay and allow enforcement of those judgments; or they can file an adversary proceeding in the BK court. But that is rare - mostly in cases where they can prove fraud or deception on your part. That doesn't sound like the case here.

However, you may not need to file BK. You may be what's called "judgment proof". SSI and disability income cannot be garnished, so even with their judgments, they can't touch you. Unless you have lots of property or checking account, which they may be able to attach.

DC - I am surprised that Legal Aide didn't tell the OP that!

If the OP is "judgment proof" what can they do to stop the collection/lawsuits?

Well, judgment proof just means there is no resources/assets available to enforce those judgments (ie garnishment/ attachment/etc.)

The collection "attempts" will continue, and there's no way to stop creditor from filing lawsuits. Just that with a judgment-proof debtor, they are wasting their time and money by filing those suits.

So, to truly stop the phone calls and any collection efforts, BK would be the best resort.

Thanks for the info!

Correct, I am in the same boat. I am judgment proof and I collect SSDI. I went to the payment hearing a few weeks ago for LVNV funding after they got a judgment against me. The lawyer knew he couldn't touch my money but still asked how much I could pay, I told him, nothing. So now it is continued to next year in February. I am going to tell them the same thing again. Hopefully by that time I will have my Bankruptcy filed.

I had a free attorney but they backed out and I can't contact them anymore so I don't know what happened to them. Now I have to find another. grrrrrrr.

I just read on a newer thread that bankrupcty will not discharge an unsecured debt if a judgement has already been filed, is that true? I was sued for credit card debt and a judgement was issued, can I get rid of this if I file for chapter 7

To the op, how long did the legal aid office tell you the process would take?

No, bankruptcies WILL discharge any judgements against you.

I have a new born baby who receives SSDI, along with me, is that income included in my total income when doing the means test? SSDI is our only source of income. Our means income is 33,000/yr which is under the standard by 30,000 dollars. My concern is when figuring all total cost we are within 200.00 dollars of using all income. Could that be considered as misc expense or doe's that require filing chappter 13? Our total debt. is about 80,000 dollars and it is all credit cards, unsecured and personal loans, unsecured. Is chapter 7 the way to go?

Amazing what a chapter 7 can do for you. At the same time amazing how bad it can hurt your credit score. I just had a friend go through with it. He gets a fresh start but is embarrased about it.

Ok- so from what I've read, chapter 7 can wipe out default judgments against you- I have a judgement from a suit brought by a collection agency for credit cad debt. Does Chapter 7 also wipe out judgements brought by civil action resulting from a past criminal case involving fraud?