Best Option: Bankruptcy, just not paying, something else? (Massachusetts)

Non-investing personal finance issues including insurance, credit, real estate, taxes, employment and legal issues such as trusts and wills
Post Reply
anonymous121
Posts: 3
Joined: Fri Jan 12, 2018 11:31 am

Best Option: Bankruptcy, just not paying, something else? (Massachusetts)

Post by anonymous121 » Fri Jan 12, 2018 11:47 am

No assets, social security disability is the only income, cannot pay credit card bills. Reported income was significantly higher than actual income when apply for some credit cards due underestimating medical conditions that led to an inability to work. Bad credit and does not qualify for a debt consolidation loan. What are the pros and cons of filing chapter 7 bankruptcy vs just stopping payments vs any other alternative?

Biggest concern is getting criminal charges like fraud, although it was never the intention to be fraudulent. Second biggest concern is having social security disability income get garnished which would result in not being able to pay rent and eat. Third biggest concern is wronging the banks by not paying them back, but that seems inevitable at this point.

MJS
Posts: 167
Joined: Sat Aug 05, 2017 10:55 pm

Re: Best Option: Bankruptcy, just not paying, something else? (Massachusetts)

Post by MJS » Fri Jan 12, 2018 6:20 pm

For info, contact Mass Legal Services
https://www.masslegalservices.org/
"MassLegalServices offers resources and information about legal issues facing lower income Massachusetts residents to legal services advocates and social services professionals. "

For a [possibly] free lawyer, try
https://www.masslegalservices.org/findlegalaid

Good luck.

z91
Posts: 252
Joined: Fri Mar 07, 2014 1:19 pm

Re: Best Option: Bankruptcy, just not paying, something else? (Massachusetts)

Post by z91 » Fri Jan 12, 2018 7:16 pm

My advice: Check out a website called Credit Boards. They probably can help you navigate through this time for you. Good luck.

Traveler
Posts: 634
Joined: Fri Aug 30, 2013 9:07 pm

Re: Best Option: Bankruptcy, just not paying, something else? (Massachusetts)

Post by Traveler » Fri Jan 12, 2018 8:39 pm

Have you stopped the bleeding and started living within your means?

anonymous121
Posts: 3
Joined: Fri Jan 12, 2018 11:31 am

Re: Best Option: Bankruptcy, just not paying, something else? (Massachusetts)

Post by anonymous121 » Mon Jan 15, 2018 2:17 pm

I'm thinking about hiring this company, has anyone heard of it, had good experiences, bad experiences with them? https://www.safeguardcredit.org/

mhalley
Posts: 6051
Joined: Tue Nov 20, 2007 6:02 am

Re: Best Option: Bankruptcy, just not paying, something else? (Massachusetts)

Post by mhalley » Mon Jan 15, 2018 3:40 pm

If you have no assets, what is the worst thing that can happen? They sue you and win, but you have no assets and no income other than ss to be garnished. Don’t just stop payments, call the cc co and tell them your situation, see if they can work with you.
I would suggest getting advice from a legitimate credit counseling service. I don’t know anything about the one mentioned, but there are lots of shady companies in this space. I would go with Clark Howard’s advice.
. Get in touch with the National Foundation for Credit Counseling (NFCC) at NFCC.org or call 1-800-388-2227 to find a local affiliate office near you. NFCC affiliates offer free or low-cost debt counseling. About one in three of NFCC clients just need some budgeting help to get their lives back on track. Beyond simple budgeting, they can also get you set up on a hardship debt-management plan (DMP) if you qualify.
Only a few things can be garnished from ss.
https://faq.ssa.gov/link/portal/34011/3 ... arnishment

Post Reply