QUESTION
What can I do if I have a civil lawsuit settlement but owe a large personal loan?
Asked on Jul 15th, 2013 on Bankruptcy - Missouri
More details to this question:
I have a personal loan from a lawsuit loan place I got while waiting for a civil case to settle now it is extremely large amount. And I think they have a lien, but I am filing bankruptcy can I include it in my bankruptcy?
7 ANSWERS
You can include the debt in your bankruptcy, but it is unlikely that the lien against the lawsuit proceeds will vanish unless you have a specific order from the bankruptcy court saying so.
Answered on Jul 23rd, 2013 at 1:49 AM
Regulatory Attorney serving Spokane, WA
Partner at
Deissner Law Office, P.C.
Liens are there to prevent bankruptcy from discharging such debts.
Answered on Jul 23rd, 2013 at 1:49 AM
Deborah F. Bowinski
Your question is not clear. Have you received your settlement yet? Did you assign the entire settlement or only part of it? If you assigned the settlement or if they filed a lien against it then the will be entitled to recover either the full amount you borrowed or, at least as much as you receive in your award (if the settlement is less than the amount owed). If the loan is secured, a bankruptcy will not relieve you from the obligation to pay. Before filing a bankruptcy case you should consult with and retain an attorney.
Answered on Jul 23rd, 2013 at 1:49 AM
Bankruptcy Law Attorney serving Livingston, NJ
Partner at
Law Office of Stuart M. Nachbar, P.C.
2 Awards
Yes you can but remember your lawsuit has to be disclosed in the filing as well. The Trustee may take the settlement if not properly exempted out.
Answered on Jul 23rd, 2013 at 1:49 AM
Bankruptcy Attorney serving Plantation, FL
at
Moffa & Breuer, PLLC
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You MUST list ALL debts, including these, mortgages, car loans, family loans, etc. Bankruptcy is not a pick-and-choose option. You must list all of your assets and all of your debts.
Answered on Jul 23rd, 2013 at 1:49 AM
Bankruptcy Attorney serving Phoenix, AZ
at
Law Office of D. L. Drain, P.A.
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This is too complicated to answer in this forum. Talk to your bankruptcy attorney, if you do not have one then it is wise to hire a good attorney. Please understand that bankruptcy is a very complicated process. It is wise to talk to an experienced bankruptcy attorney before deciding to take this important step.
Answered on Jul 23rd, 2013 at 1:48 AM
Bankruptcy Attorney serving Florissant, MO
at
Law Offices of Thomas Corcoran Phipps
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Yes. You have to include all creditors and all debts and assets in your bankruptcy schedules.
Answered on Jul 23rd, 2013 at 1:48 AM