QUESTION
I am a widow on SS with credit card debt and a homesteaded home, do I need to file bankruptcy. Can I notify creditors of same?
Asked on Apr 16th, 2016 on Bankruptcy - California
More details to this question:
My home is homesteaded is valued at under 175,000 with a small second balance of 3,200. almost full equity. I have social security income and own 20 year old truck, personal assets like old furniture etc. and no cash or savings. I have35,000. of credit card debt that I cannot pay. I should be judgment proof. How can I insure that creditors won't come after me anyway. Would I still have to go to court to prove this?
1 ANSWER
Bankruptcy Attorney serving Burbank, CA
Partner at
Law Office of Mark J. Markus
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3 Awards
Your facts are a bit confusing. You state that you have a "second balance" on your home of $3,200. That is not helpful by itself.
What is the current fair market value of your home? How much is owed to the first mortgage?
You say you have "almost full equity". Does that mean there is equity above you homestead exemption?
It's really not clear from your facts.
If in fact you are judgment-proof then you don't need to file bankruptcy, although it is certainly a way to eliminate the harassment of creditors and prevent you from having to prove that the funds in your bank accounts are solely social security (and, therefore, protected).
Mark Markus has been practicing exclusively bankruptcy law in California since 1991. He is a Certified Specialist in Bankruptcy Law by the State Bar of California Board of Legal Specialization, AV-Rated by martindale.com, and A+ rated by the Better Business Bureau. CONTACT MARK for more information or to schedule an appointment.
Answered on Apr 16th, 2016 at 11:50 PM