Legal Question in Credit and Debt Law in California

In California, a judgment creditor cannot take your home unless there is enough equity in the home to pay off all of the liens of record as well as pay you the amount of your homestead exemption. The amount of you homestead exemption could be $75,000, $100,000 or $175,000 depending on things such as you age and marital status.

You can try to negotiate a settlement with the creditor, but bankruptcy is the only way to legally compel them to take less than what they are owe. Paying this debt off at 10% would be $30,000. A bankruptcy attorney would probably charge $200-$4000 and help you keep most of that $30,000.

How much equity do you have in your house? You can have homestead exemptions that apply. Contact me directly.