How Can I Stop a Lawsuit From a Creditor in Atlanta?

If you have received a letter about a debt collection lawsuit in Georgia, there is help for you. A lawsuit will not go away if you don’t do anything, and typically will result in a default judgment against you. If the creditor wins the lawsuit, without much notice to you, here are some of the actions they can take to recover the money you owe them.

Garnished Wages

Once a debt collector wins the lawsuit, they can garnish your wages. When a garnishment order is sent to your employer, you can expect them to withhold a portion of your wages and send the money directly to your creditor.  A wage garnishment is a devastating way to pay back a debt, and can quickly send your life into a financial spiral.

Your Bank Account Can be Frozen

The debt collector can also send the judgment to your bank to “freeze” your bank account. If your account is frozen, there are actions you can take to defend yourself. An experienced bankruptcy attorney can explain to you the next steps on how to “unfreeze” the account and keep your money.

 Bankruptcy May Be An Option

If you cannot afford to settle or fight the debt collector in court, a bankruptcy filing may be the best for you. Chapter 7 bankruptcy can eliminate most debts and provide you with a “fresh start.” Once a petition is filed with the Bankruptcy Court, any debt collection lawsuit (garnishment or frozen account) will be stayed. To find out if bankruptcy is right for you, call the offices of King & King for a free consultation today at 404-524-6400.

If I File Bankruptcy Can I Keep My Car?

Bankruptcy laws in 2024 allow you to keep your car, if your bankruptcy schedules exempt the equity value in your car and you keep making your payments in time during the course of the of your bankruptcy case. The exemptions necessary to keep your car are complex and must be filed properly. The experienced bankruptcy attorneys at King & King can explain the process and help you keep your car.

Most people can keep their cars in bankruptcy with little worry. Bankruptcy laws protect property that is needed to start over once your debt is wiped out. A car is one of the basic pieces of property you need to rebuild your credit, stay employed and take care of your family.

A big worry for most people considering bankruptcy is what will happen to their car. The purpose of bankruptcy is to give you a fresh financial start, and the law recognizes that to have a fresh start, a debtor usually needs a car to survive.

Of course, if your vehicle payments are unduly burdensome, you could stop making them, file chapter 7 bankruptcy, and any balance owed to the lender should be discharged.  Relief from the automatic stay will typically be granted to the lender upon the filing of a motion and, after entry of an order, repossession can quickly follow.

Call the bankruptcy attorneys at King & King today for a free consultation. We will help you to a brighter financial future 404-524-6400 or visit us online at www.kingandkingattorneys.com