Kirk Adams : Hi - my name is XXXXX XXXXX I'm a Bankruptcy litigation attorney. Thanks for your question.
Kirk Adams : Unfortunatley, there's not a lot that can be done to the creditor that will stop its advances against you short of filing bankruptcy.
Kirk Adams : Bankruptcy will give you protection under the provisions of the automatic stay (11 USC 362).
Kirk Adams : If you were to file, this debt could be discIN
Kirk Adams : IF you were to file, this debt could be discharged as an unsecured debt.
Kirk Adams : Otherwise, the lender is going to take a judgment against you and then proceed with filing garnishments against wages, levy your bank account, etc.
Customer: It was an secured debt never signed anything was applied for on computer at home
Kirk Adams : A secured debt is one that has collateral attached to it - - like a mortgage (house is security), or a car loan (vehicle is security).
Kirk Adams : Most CREDIT CARD debts are unsecured debts.
Kirk Adams : IF you didn't pledge any collateral for the credit card, then it's an unsecured debt.
Kirk Adams : Secured debts can be discharged through bankruptcy as well, but you usually have to return the collateral - house, car, etc.
Customer: What the less than 50 dollars in bank account have two cars and both paid off no mortgage one car has loan through bank other not worth the debt
Kirk Adams : But, with an unsecured debt - like a credit card - there's nothing to return so the lender usually doesn't get anything.
Customer: So only option is bankruptcy
Kirk Adams : That's the ONLY way to STOP the creditor.
Customer: They asked for an answer letter within 20 days
Kirk Adams : Yes, that's an answer to the complaint that has been filed. You have 20 days to file an ANSWER with the court, and if you don't the court will enter a judgment by default against you.
Customer: Ignore it and file bankruptcy. What's that usually cost cause i have nothing?
Kirk Adams : IF you file bankruptcy before the 20 days, the lawsuit will be stopped.
Kirk Adams : If you file after the 20 days and a judgment is entered, then you would be able to set aside the judgment through your bankruptcy.
Kirk Adams : As for the costs, a simple bankruptcy can be done for around $500. Most bankruptcy attorneys are aware that their clients don't have a lot of money on hand, so they usually have payment plans to accommodate.
Customer: What kind of lawyer do I need to look for
Kirk Adams : If you don't file bankruptcy - - and you can't pay off the debt - - then a judgment will eventually be entered against you, and then the creditor can issue a wage garnishment to your employer and take up to 25% of your pay until the debt is paid.
Customer: And do I have to go bankrupt on everything
Kirk Adams : You need a bankruptcy attorney that handles cases for debtors. You can visit www.martindale.com and search for a debtor's attorney in your area. When you go to the site, click "Find a Lawyer or Law Firm" and then enter your relevant info.
Kirk Adams : Your bankruptcy filing would affect all of your assets and debts, but you have the right to REAFFIRM the debts you want to keep. This means you can continue paying the debts you want to keep and you'll be allowed to retain the property.
Customer: So no way out even though I never signed a contract
Kirk Adams : It doesn't matter if you signed a contract in the traditional sense as you can electronically agree. Also, if you received the card, activated it and used it to make charges, etc., then you'll be held responsible for the debt.
Customer: Thanks for info
Kirk Adams : Sure. THANK YOU for allowing me to assist. I wish there were some other reliable alternative, but it just isn't.
Kirk Adams : Also, please take time to positively rate our conversation so I may receive credit for assisting you.