Legal Question in Bankruptcy in Virginia

Re: Will bankruptcy help me?

So far as your credit standing is concerned, with two judgments already against you, you have little or nothing to lose by filing bankruptcy.

Whether other factors would mitigate against filing is a matter for detailed discussion with an attorney. Most bankruptcy attorneys, myself included, offer the first consultation free, so you have nothing to lose by doing that. Do it BEFORE you go to answer the interrogatories. Incidentally, when you go (and you have to go or potentially be arrested for failure to appear), don't wear any jewelry, carry any cash beyond lunch money or take your car. They can and often do seize property on the spot.

Most important, don't waste time before you talk to a bankruptcy attorney.

Re: Will bankruptcy help me?

You have a deficiency from the auto repossessions that the creditor can try to collect on. Depending on the equity in your house, you may or may not have a problem in a Chapter 7.

Contact the office for a free half hour in office consultation provided there are no tax issues.

Our office number is 703-527-266o.

Re: Will bankruptcy help me?

The creditors have obtained a deficiency judgment, which is the amount still owed the creditors after they sell the vehicles at auction. A Summons to Answer Interrogatories is a very powerful tool wherein a creditor can ask you under oath what assets you have, where you work, even how much money you have in your wallet at the time. I have even heard of attorneys asking debtors to hand over their watch. A bankruptcy, when filed before this hearing, will serve to put a stop to it. A homestead deed might also help to protect your assets to some extent. But whether you should file Chapter 7 or Chapter 13 depends on a couple of factors: (1) Is the real estate titled as "tenants by the entirety" (husband and wife) and are all the debts (other than the mortgage) in your name alone? (2) How much equity is in your home? You can get a rough estimate of your equity when you take the fair market value of your home (often obtain by the county/city tax assessment) and then subtract your payoff. If you don't have much equity in your home, or you can answer "yes" to both of the questions in #1, then you may be safe to file Chapter 7 bankruptcy. In any case, you should be able to file a Chapter 13 bankruptcy, because you would definitely not lose your home in a Chapter 13 bankruptcy. See an attorney for more information.