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Ask Terry L. Your Own Question
Terry L.
Terry L., Attorney
Category: Bankruptcy Law
Satisfied Customers: 2831
Experience:  Better Business Bureau. 18yrs bankruptcy experience. Chicago Bar Assoc. American Bankruptcy Institute member.
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Im wondering what might be a better option, bankruptcy or

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I'm wondering what might be a better option, bankruptcy or going into default. I have a total of around $18,000 over 4 credit cards. My husband and I currently live with relatives but need to get a place of our own soon. We would end up buying a home instead of renting, he would have the home in his name. The credit cards are in my name only so I could file for bankruptcy on my own. I'm just not sure what would be the better way to go and also if getting the house would make going bankrupt more difficult.

Terry L. :

Hi, thanks for your question. You should hire a lawyer for specific legal advice. No attorney client relationship is created here.

Terry L. :

Bankruptcy can eliminate many of the headaches and years of bad credit that will follow. They will sue, garnish wages, freeze bank account etc.

Terry L. :

If the home is in your name, then yes, that could cause issues too.

Terry L. :

Also, if the creditors can prove that your funds (marital funds) were used to purchase the home, that they could pierce that veil to put a lien on the home. it is a rare longshot, but feasible issue that could arrise.

Terry L. :

Chapter 7 is quick, just 90 days.

Terry L. :

The benefits of the protections from creditors will provide immediate relieg.

Terry L. :

relief.

Terry L. :

Otherwise you'll face lawsuit and collections for years, with those issues staying with you for the next 7-10 years too.

Terry L. :

Talk to a local bankruptcy attorney to review assets, debts, income, expenses. They can advise you on the impact to the non-filing spouse as well.

Terry L. :

Let me know if you have any questions.

Terry L. :

Thanks

Terry L. :

Terry

Customer:

Thank you!

Terry L. and 4 other Bankruptcy Law Specialists are ready to help you

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