Legal Question in Credit and Debt Law in North Carolina

In NC, you have exemptions provided you fill out the paperwork properly and send it in a timely fashion. If you are served with a Notice of Rights to Designate your Exemptions, make sure you fill it out and return to the court within 20 days. It is unlikely that the Sheriff is going to take things like toys - they look for items that can be sold like a car (which you may be able to exempt). Really the best thing to do is to consult with an attorney so you understand the process and your rights, etc. Maybe you would be eligible to consult with a Legal Aid attorney - you can look at www.legalaidnc.org and contact the local office.

Has a judgment been entered yet? If not, wait until it is and until you receive something called "Notice of Rights to Have Exemptions Designated." You will be able to exempt things like your personal possessions and the children's toys. Do not ignore these papers - if you do not fill out the exemptions, they are waived.

You don't indicate whether the debts are just yours or the amount. It might make sense for to talk to a bankruptcy attorney. You probably qualify for Legal Aid, although if your husband is working, maybe not. Its worth exploring. You might also find attorneys who will give you a free consult or who will take the case pro bono (for free) or who give limited legal services (like just filling out the bankruptcy forms for you). You can also ask the bankruptcy court to waive the filing fee if you are indigent. You do need to get this resolved as judgments can last for 10 years and can be renewed for 10 additional years.