On STD, going on LTD, lower income, can’t pay credit cards…
September 30th, 2006 by Questions
I will be going on Long Term Disability soon, and in which you only get 60% of your wages, even without taxes taken off, I will be receiving less than $1600 per month. I have car loan, insurance, rent, hydro, phone, cable and mac and cheese diet….that new income will cover all that, but not my Credit Cards.
I think that while on LTD the creditors cannot garnish my disability income (work insurance provided). But I want to know if i should just file for personal bankruptcy and get it over with, but i cant pay anything at all into a bankruptcy and i have no assets except the car. Car is worth less than 5650.00. I want to keep the car as I have paid so much for it so far, it would be a huge loss to lose it now.
What should someone in my position do? Does anyone know if creditors can garnish my disability income? if they can, should i go bankrupt eventhough i have no way to pay for anything other than my living expenses and car payments.
I do not know when i will be back to work and off disability, so i am not sure if i should go through bankruptcy now or later.
any advise will be appreciated, Thanks