QUESTION
What can the creditors of unsecured credit cards do if I am unemployed?
Asked on Sep 21st, 2011 on Bankruptcy - Georgia
More details to this question:
I have lost my job and can not make my credit card payments. Do I have to file for bankruptcy to protect my house equity? What actions can they take against me?
10 ANSWERS
Debtor's Rights Attorney serving Atlanta, GA
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Theodore N. Stapleton, P.C.
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They could file a lawsuit, get a judgment and put a lien on your house so that whenever you sell it they will get paid.
Answered on Sep 26th, 2011 at 12:51 PM
Bankruptcy Chapter 7 Attorney serving San Diego, CA
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Law Office of Asaph Abrams
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Creditors' judgments can effect liens upon real property. This answer (as well as our Web site) doesn't address all facts & implications of the question; it's general info, not legal advice to be relied upon; it creates no attorney-client relationship; it may be pertinent to CA only; it's independent of other answers.
Answered on Sep 26th, 2011 at 6:53 AM
Bankruptcy Attorney serving Torrance, CA
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Kalra Law Firm Professional Corporation
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Creditor may choose to either settle their claim with you at discounted amount or choose to pursue in court by filing lawsuit for debt collection, after obtaining judgment, may record a lien upon your real property, to attach it with the equity in the home, if any.
Answered on Sep 26th, 2011 at 5:13 AM
Bankruptcy & Debt Attorney serving Longmont, CO
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William Edward Zurinskas
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Credit card companies generally work a defaulted credit card obligation with their in-house collectors for approx. 6 mos. At some point they will give up (they usually send you a letter that the debt will be charged off), and, at that time, they may decide to hire an attorney and sue you, or, after charge off, they will sell the debt to a debt buyer or assign the account for collection with a collection agency. Don't assume that if a debt is charged off, you do not owe the debt (unless you receive a 1099). At some point before the 6 year statute of limitations run, you will probably be sued by someone. A District Court judgment can be collected upon for up to 20 years (unless revived).
Answered on Sep 23rd, 2011 at 3:08 PM
Bankruptcy Attorney serving Concord, CA
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William Rubendall Attorney at Law
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If you are unemployed contact your creditors to make an arrangement. If you can't pay them they have the right to sue you. Also, you may want to contact an attorney to discuss whether it makes sense to file bankruptcy.
Answered on Sep 23rd, 2011 at 3:07 PM
Daniel James Wilson
Your creditors can sue you and get a judgment. They can place a lien on your home. Its very difficult to foreclose a judgment lien on a residence in Colorado. The lien will just sit there as a cloud on your title, which must be satisfied if you ever want to refinance or sell your home.
Answered on Sep 23rd, 2011 at 12:38 PM
2 Awards
They could sue you, get a judgement and put a lien on your home and wait for you to get a job so they can garnish wages.
Answered on Sep 23rd, 2011 at 11:17 AM
Your unsecured creditors may file suit against you for breach of contract, obtain a judgment, and seek to enforce that judgment. They may place liens on property you own. They may wait to enforce the judgment until you have income again, then seek a garnishment of your wages. Judgments in Massachusetts are valid for 20 years and can be renewed after that period has expired. Check to see if there is a homestead filed for your house which will protect the equity you have in it. If possible, contact your creditors and try to work out a payment plan. If this doesn't work, consider consulting a bankruptcy attorney. You cannot be put in jail for your debts, although it is possible to be arrested by a constable should you fail to show up for a court appearance in a supplementary process action (part of the judgment enforcement process) and it is possible to be held in contempt of court and jailed.
Answered on Sep 23rd, 2011 at 11:08 AM
Consumer Bankruptcy Attorney serving Worcester, MA
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Law Offices of James Wingfield
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Unsecured creditors have a number of tools at their disposal, most of which require that they first get a judgment against you. With a judgment (and execution) in hand, the creditors can bring you into Court to determine how you will pay, they can attach your real estate, seize your car and, of course garnish wages (when you eventually go back to work). If you are struggling with your debts, you should at least speak with a bankruptcy attorney to determine how bankruptcy might be able to protect you.
Answered on Sep 23rd, 2011 at 10:24 AM
Glen Edward Ashman
See a lawyer immediately. You have a severe legal emergency. Your creditors can sue you. The judgment will be a lien on your home. Additionally they can grab your bank accounts, wages and other assets not just now but for years to come. If you have house equity there may be pros and cons to bankruptcy, so do not guess, don't do anything pro se, and see a lawyer very soon.
Answered on Sep 23rd, 2011 at 10:23 AM