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WEGOTTHATTOO

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Bankruptcy To Stop Wage Garnishment?
Had a perfect score back in 2006, 785+ all Aces across my credit report. Purchased an investment property, market crashed in 2008. Lost the house (along with 1,000,000.00 other people in the US). In the process, I started to live off my credit cards so I can make my mortgage with my cash on hand. When the credit card limits reached max, had no choice but to let the house go. My mistake was not cutting my losses with the house and trying to do what I did. That's in the past. So with so much high balances...I couldn't make payment so I didn't! Figured I already have a foreclosure, debt to available ratio is 1:1 so I just stopped. 5 years later I get a letter from my HR department at work that I am having my wages garnished for unpaid credit cards! I didn't even know they can do that! This is only for like $2,400.00 so I can just pay this and move on...my concern is, what if other cards start garnishing wages also? I don't want it to be a problem for me at work also. I wish there is something else I could do since now I have 5 credit cards with great standing and my credit is on the rise again. Is bankruptcy the only option to prevent this from happening again? Should I do it or not?

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Chapter 7

Helpful to 3 out of 3 people

We actually just did it and it felt great! It took me sometime to adjust to the fact no one could FINALLY touch my check or my husbands (I even kept thinking their was a loop hole) but the day I filed and got a case # I finally felt relief EVERYTHING.....debt....garnishment....calls....collections ALL had to stop immediately! It is well worth it if you have a family to take care of and you've tried and tried to work with the people 

3 Contributions
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Thanks! 

Like I said...I have 4 new credit cards and my score is gradually increasing, but then "BAM" this thing happens. If I know this will be the last of their needs, I will pay it off and move on with my life (it's been 5 years already). My concern is if they keep coming back for other accounts and so on. This is my biggest concern. Even if I continue to still pay off my balances on my current accounts, the accounts will automatically be closed once I file for bankruptcy. I'll lose what I have now and will have to start from scratch again. 

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