Reply #113: Car will be reposessed

[treestar]

Credit cards - they will go and get judgments against her - yet they can't collect on them if she doesn't have a great income or assets. that's the hard part.

See a bankrupcty attorney - see if it is worth filing Chapter 7. Credit card debts are unsecured. It may be possible to discharge them in bankruptcy - thanks to the new bankruptcy bill, if she makes a good income she may have to go with Chapter 13 payment plan - go to web site of local Bankruptcy Court and download the Chapter 7 statement and work it out with the numbers to see if she is presumed to be able pay them off - this greatly depends on her household size and her income. If she doesn't have a high income, chances are, she can discharge the debt in Chapter 7.

Of course, she won't be able to get credit for at least the next 7 years. But that could be a good thing, in a way.