Small Claims Court while in bankruptcy

March 10th, 2008 by Questions

I was just wondering what happens if I incurred debts while in bankruptcy and they took me to small claims court before my discharge?


One Response to “Small Claims Court while in bankruptcy”

, A licensed trustee said:

I’m sorry to be the bearer of bad news, but bankruptcy only protects you from debts incurred BEFORE you file. If you have created a new debt since filing your new creditor has the right to take you to Court and ask to garnishee your wages.

If you’ve been served with Small Claims Court papers, I suggest you attend in Court and explain your current situation – it may be that the judge will defer the repayment of the new debt until after you have been discharged from your bankruptcy (if you ask them to!).

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