how can i protect my social security benfits from my old debts

by Vincent
(new brockton, al)

How can I protect my social security benefits from my my old debts

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Jun 20, 2011
how can i protect my social security benfits from my old debts
by: Debtcollectionanswers.com

Your Social Security income is exempt from collection. In other words, if you are sued for a debt that you owe and the debt collector or creditor wins a judgment against you, it cannot collect on the judgment by going after your Social Security payments. The problem however is that if the collector or creditor gets permission to seize money from your bank account to collect on the judgment and your Social Security income is in that account, that income may be taken because it will be indistinguishable from other funds in the account and should that happen, you will have to initiate a process to get your Social Security income back. So, if you want to be sure this does not happen, my advice is to open a new bank account and reserve it 100% for your Social Security payments.

Jun 28, 2011
how can i protect my social security benfits from my old debts
by: Debtcollectionanswers.com

If the debt you owe is an SBA loan, the lender may decide to sue you and if it gets a judgment against you, it can go after your assets, but not your Social Security income.

You have options for dealing with your debt however. For example, the lender may be willing to let you settle the debt for less than you owe on it; although you will probably have to pay the settlement amount in one lump sum. Another option is to find out if the lender will let you make smaller monthly payments than what you are obligated to make now (and maybe lower your interest rate as well). Be sure not to agree to make payments you are not 100% sure you can make however.

Another option is to meet with a consumer bankruptcy attorney to find out if filing for bankruptcy might be a good way for you to resolve your debt problem. Click here for a free consultation with a bankruptcy attorney. The attorney can also help you figure out if one of the other solutions I suggested in this answer might be right for you.

Bottom line, you have options and you should investigate all of them rather than worrying about the "what ifs" associated with owing the money that you do.

Jul 28, 2011
Chapter 13 BK
by: Anonymous

We are filing for Chapter 13 and was wondering if during the 5 year payment payback if I start drawing my pension will that have to be added to income and would that increase my monthly paymt. Debbie in Illinois

Reply from DebtCollectionAnswers.com: Changes in your financial circumstances will need to be disclosed during your Chapter 13 bankruptcy. Please talk with your attorney about how this change in your income will change your payments.

Aug 09, 2011
How Can I Protect My Social Security Benfits From My Old Debts
by: debtcollectionanswers.com

Debbie:

In an earlier post on this site you indicated that you had filed for bankruptcy. Therefore, you should ask your bankruptcy attorney this question because I am not a bankruptcy attorney. If you are not working with a bankruptcy attorney, then I recommend that you consult with one to get your question answered.

Sorry that I cannot be more help but bankruptcy is a very technical area of the law and I would hate to give you the wrong information.

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