Is two years too long to wait?

[sassiebaz]

Is it likely that we will be sued and have judgements against us if we do NOTHING about our finances for two years???

[becky20]

I started getting served after I think about 9 months - got served 3 times in less than a month, so I knew I couldn't wait any longer. I think it depends on the creditor but my guess is yeah, too long to wait. Unless you only owe like $100 or something, but the more you owe, the more aggressive they'll get...

[Flamingo]

Is it likely that we will be sued and have judgements against us if we do NOTHING about our finances for two years???

You can bet on it and also have your wages garnished well within that time or judgments place against any real estate you own or state tax refunds taken.

[floridian]

You can bet on it and also have your wages garnished well within that time or judgments place against any real estate you own or state tax refunds taken.

how about federal refunds, same deal?

[sassiebaz]

Yeah, I figured. We only have 2 1/2 years before we can file another chapter 7 so yeah, it was just a fantasy thought! I already plan to retain my attorney next week, but I'm getting the jitters about it. I'm sure that is normal though. Thanks!

[optimistic1]

Let the two and half years roll by and then just convert it to a Ch.7

[Flamingo]

how about federal refunds, same deal?

Not certain - I believe there are only certain items that can be withheld from federal refunds (i.e., child support, federal taxes owed, etc.). Someone with more tax experience as to that can probably help there. I know state refunds (not certain as to all states) will allow refunds to be withheld if there is a judgment - NC is one of them. One would have to check with their state as to what is done for that state as to judgments and garnishments.

[Nicollette]

I just had a co-worker tell me the other day that he had a judgement against him for a medical bill, and the amount of that medical bill was deducted from his 08 federal refund. He was aware it was gonna happen because he received a letter in the mail about "offsetting his taxes."

[optimistic1]

I personally, would not chance it, but if you want to be a test case, go for it and report back here on the status of things. If you can handle the possible garnishment at 25%, then just let it happen, and wait it out and then file.

[MJJ3767]

Sassy....this is what forced me into an overnight Chapter 13. It has been 3 years on a car loan and I was served. I filed Chapter 13 to avoid a judgement. I filed 12 days after being served. I plan to convert to a Chapter 7 in 2010.

If I was in your shoes (and I was), I think I would wait it out. If you can handle the phone calls and harrassment. You will be served before they get a judgement on you. At that point you can file Chapter 13 and then convert to a 7.

Hmm......2nd thought. If it will save you money on your other debt, why not file now? If it won't save you that much money, then wait it out.