QUESTION
If the bank took me to court their lawyer and i agreed i would make monthly payments?
Asked on Dec 31st, 2014 on Bankruptcy - Virginia
More details to this question:
Back in july of 2013 i was order to appear in court for an outstanding debt, in court i had a chance to explain to the situation to the bank lawyer, I agree to start paying the minimum amount but i have not being able to pay it. If i file for bankrupt would that affect me in anyway? Or would i be able to file bankruptcy even after i was taking to court?
1 ANSWER
If your financial situation changes and you are not able to continue the payments, this should not impact your ability to obtain a discharge of your debts in bankruptcy. If a judgment is entered against you, the judgment creditor will be entitled to file post judgment collection proceedings such as garnishments and debtor's interrogatories. It is generally more favorable to file bankruptcy prior to a judgment being entered against you so that you aviod collection proceedings and the judgment lien. However, the entry of a judgment will not preclude you from filing bankruptcy.
Answered on Jan 28th, 2015 at 7:51 PM