My 60+ year old, disabled, living on a fixed income mother has been a victim of identity fraud, unfortunately it was at the hands of an ex-family friend so my mother is adamant about not calling the police or pressing charges. Three credit cards with a total balance of about 32K are now wreaking havoc on her life with calls from collection agencies
and threats of taking her home.
We live in Texas, she is on federal disability
and receives a pittance each month of about $800.00. Once her mortgage of $419.00 is paid my husband and I take care of all remaining bills (electric, insurance, home owner’s fees, cable) to allow her some funds for personal expenditures. With some additional assistance from my brother she manages to live surprisingly comfortable.
She would like to file for bankruptcy. But I’m afraid of what may happen to her home, car (which is paid off), pitiful savings account less than 5K, and existing credit cards that are in good standing and are used to help when either my brother or I are tapped out. She really doesn’t have any wiggle room in her budget to pay off the debt, and no member of our family is able to pick-up additional expenses even with payment plans. The scoundrels who perpetrated this fraud are of no use and will not return my calls.
Should we file for bankruptcy? Will she lose her home? How much would it cost to file? What would she be able to keep of her credit if any?