QUESTION
If I was in a car accident with no insurance, am I able to file bankruptcy?
Asked on Apr 28th, 2014 on Bankruptcy - Michigan
More details to this question:
I was on a small car accident about a month ago. Insurance company wants $4,186.44 from me. I have no job at the moment, no way I can pay that. What should I do?
8 ANSWERS
Bankruptcy Law Attorney serving Austin, TX
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Law Office of Susan G. Taylor
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Yes, and do it before you lose your driver's license. Takes a long time to get it back.
Answered on May 02nd, 2014 at 3:50 AM
Commercial & Bankruptcy Law Attorney serving Powell, OH
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Ronald K. Nims
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As long as you weren't drinking at the time of the accident. Bankruptcy will cover your liability. You will be subject to Ohio's Financial Responsibility Law and will have to buy very pricey insurance or post a bond to get your license back
Answered on Apr 30th, 2014 at 4:21 AM
If you have access to about $1,500 cash (e.g., from friends or family members), offer the insurance company $500 cash or tell them you will file BK. You may end up around $1,000 or so and can avoid filing BK. If you have no access to money, BK may be your only option.
Answered on Apr 29th, 2014 at 4:34 PM
Yes, you can discharge the debt resulting from an uninsured car accident, as long as you were not cited for DUI.
Answered on Apr 29th, 2014 at 1:54 PM
If this is your only debt, you should make payment arrangements with the creditor. Bankruptcy is appropriate for those with massive debt, typically at least $20,000 or more. BTW, if you don't pay the insurance company, you will lose your drivers license unless you start making agreed payments. And stop driving without insurance.
Answered on Apr 29th, 2014 at 1:53 PM
Filing bankruptcy over one debt is not typically advised. But if you have other debts that could be discharged then it might be a good idea for you to file for bankruptcy protection.
Answered on Apr 29th, 2014 at 12:13 PM
Bankruptcy Attorney serving Huntington Woods, MI
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Detroit Lawyers, PLLC
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You can file for bankruptcy to discharge that debt. If that's the extent of your debt, however, bankruptcy might not be your best option.
Answered on Apr 29th, 2014 at 8:48 AM
Appellate Attorney serving Grosse Pointe Farms, MI
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Musilli Brennan Associates, PLLC
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$4200 is a significant amount, but in the overall scheme of things it may well be better for you to try to make some kind of arrangement for installment payments than to suffer the bankruptcy and its repercussions.
Answered on Apr 29th, 2014 at 8:46 AM