How do I file bankruptcy if I'm on SS disability but still do not have enough money to pay my bills?

Question

It has been several years since I became disabled. I have over $60,000 in credit card and medical bills. I need to file bankruptcy but I am living on ss disability. Is this still possible? I do not draw enough to pay all these bills and live.

Austin Hirschhorn · Answer

You may be eligible for a waiver of the fee to file for bankruptcy if you don't have the income to file.  

The Bankruptcy court does have an access to justice program and you should go to the U. S. Bankruptcy Court web site for the District in which you reside to find the information about how to apply for a fee waiver and help in filing the case without a lawyer.

S Hunter · Answer

Yes the fact that you are low income does not impact your ability to file for bankruptcy. In fact if you are on SSI there is a good chance that the court will waive all of your filing fees. You could file the bankruptcy yourself or have an attorney assist you.

Harry Roth · Answer

The first thing you do is never pay another credit card bill as long as you live. Period. Stop. They will call (though you can make them stop) but they can take nothing from you, not even after suing you and getting a judgment.

You can file bankruptcy and in the end your life will be simpler if you do, but truth be told, you don't need to file.

If you have been on SSD long enough to qualify for MediCare, get on MediCare right away so you can use that to pay future medical bills. Tell your health care providers nothing until you are ready to file and then just drop it on them.

If you are not yet Medicare eligible, then you should wait to file bankruptcy so as not to have more unpaid medical bills for which you have no coverage. In the mean time, remember to not pay the credit cards so you have enough to live.  

The key here is to stop worrying and understand your rights. There is absolutely nothing either the banks or the medical providers can do to you if you don't pay. We gave up debtor's prison in the English speaking world about 200 years ago.

It is not a crime to not pay a bill. Put yourself first and file bankruptcy when you are ready.  In the meantime, stop using the credit cards, too.? Cash only (or your debit card) from now on.

Ethelyn Boak · Answer

You can still file for Chapter 7 Bankruptcy, but you should be aware that you will not be able to file again for eight years. If you can live with that, it might be best for you to file. You would file just as anybody else would file, although perhaps you would be able to waive the $306 filing fee, since your income is probably less than 150% of the federal poverty level.

Nancy Harkess · Answer

The only affect that you SS disability has on your filing for bankruptcy is that Social Security benefits are not included as income.

Roger Bus · Answer

Yes, you most likely would be eligible for a simple Chapter 7 consumer   bankruptcy and have your unsecured debts discharged.

Willie Stephen Graves · Answer

Yes, it's possible. See a bankruptcy lawyer.

Diann Moseley · Answer

Call an attorney in your area and find out how much he/she will charge to file your bankruptcy.? Once the bankruptcy is filed, and your debts are discharged,you will no longer have to pay the debts.

Jeffrey Salberg · Answer

Yes, you can file for bankruptcy, probably a chapter 7.  However, a decision on whether to file a chapter 7 or 13 bankruptcy depends on the facts of your case..... that is, home ownership with equity, or ownership of automobiles worth more than the allowed exemptions.   Consult a competent bankruptcy attorney.  I personally do not charge people to discuss there particular situation.  34-5580 *

Cary Smalley · Answer

It may still be possible to file bankruptcy.  I suggest you consult with a bankruptcy attorney to discuss the details of your situation.

Jay Moreland · Answer

It is possible to file a bankruptcy in your situation, but you should talk to an attorney about it. Many offer a free consultation.  It may not be necessary for you to file bankruptcy if you have no assets and are on Social Security Disability. 

You might be judgment proof which means that even if you are sued by your creditors, there may be no assets for a creditor to collect. If you have ongoing medical bills, any future bills won't be covered by your bankruptcy. So the timing of the bankruptcy might be important. There are many other factors that would go into this decision and an attorney could help you assess them and decide what is best for you.

Robert De Groot · Answer

Bankruptcy is what you need to do. You can download an information booklet about chapter 7 from my website.

Bernal Ojeda · Answer

Yeah, you can file and get a fee waiver.

Alexzander Adams · Answer

You are able to file a bankruptcy. Although from what you say in your post you may be judgment proof, many times people in your situation file simply to stop the creditors from harassing you.

Richard Wheeler · Answer

Yes. You can file chapter 7.  Generally your credit card debt and medical expenses will be discharged.

Edward Olson · Answer

Yes.  You can still file for bankruptcy.  Call a bankruptcy attorney at your convenience.

Charles Schneider · Answer

The easiest way is to hire an attorney.

Philip Boardman · Answer

You do qualify to file bankruptcy.  You may not need to though since SS  disability can not be garnished.

Diane Drain · Answer

Most likely your income is the type that cannot be taken by your creditors.  Bankruptcy might be an option to relieve you of the nuisance of the creditor's calls.

Shilo Naomi Borja · Answer

It is possible. You can also apply for a fee waiver for the filing fees for Chapter 7. You can even file the case on your own (Pro Per) without an attorney's assistance, but the forms may become complicated.

Phong Thanh Tran · Answer

You can file for bankruptcy whenever you have more debts than you are able to pay for.  It does not matter that you are on SS disability.

Steven Alpers · Answer

You can get information and forms  from the bankruptcy court website.  You should be able to get a fee waiver.  There may be bankruptcy assistants who will only charge for preparation of the papers.

Jeremy Shephard · Answer

You are still eligible to file bankruptcy even if you are on SSDI. On a side note, SSDI is uncollectable by creditors so you can choose to not pay these creditors and there is little they can do to get to these funds.

Nanina Takla · Answer

If your only source of income is SSDI and you don't have any other  assets, then you are collection-proof. This means that your creditors don't have any way to collect from you if you stop paying them they can sue you and they can get a judgment, but they are prohibited by law  from collecting their judgment from your SSDI payments. 

To be safe, you  should get your SSDI direct-deposited and only keep SSDI money in that  account. In other words, don't co-mingle your SSDI money with any other  deposits in that bank account.  If you really want to file a bankruptcy, then, depending on your income,  you might qualify for the pro bono bankruptcy clinic. Good luck!

Gregory Wald · Answer

You can file bankruptcy if you are on social security disability.  You can file a Chapter 7 bankruptcy case to eliminate your debts as long as you haven't filed a Chapter 7 case in the past 8 years.  You should meet with a lawyer to get the details.

Stuart Nachbar · Answer

In New Jersey it is absolutely possible.  I have handled many cases where the Debtor is on SSDI.  Your SSDI income is Non Means Test income and can be totally excluded from the Bankruptcy Estate.  If there is no real property to worry about, and you are current on your rent, there really is no issue as to why we could not file you a Chapter 7.

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How do I file bankruptcy if I'm on SS disability but still do not have enough money to pay my bills?

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