Manasquan, NJ Bankruptcy Law Firms & Lawyers

Release of the lien does not necessarily release the tax. It appears as though the tax was probably released. You should contact the IRS and get a transcript for the years in question.

1. Different summonses differ regarding the deadline for response and whether you have to appear in person or file an appearance. In addition, if the debt is $10,000 or more in Illinois, you have to file an answer or motion. Read the document carefully and comply. 2. Leaving papers outside your door is proper service only if you refuse to open the door. Whether this is worth raising may depend on such considerations as whether the statute of limitations may expire shortly. 3. One important consideration in determining the appropriate course of action is whether you are being sued by original creditors or debt buyers. Debt buyers generally cannot prove anything. You may be able to defend the case yourself, or hire an attorney for perhaps $1,000. Original creditors, particularly if the debt is large and the creditor has brick-and-mortar offices locally, may be able to produce a witness and prove their case. 4. Whether you should file bankruptcy requires a detailed examination of your financial circumstances with a bankruptcy attorney. 5. Generally, if you have 2 or 3 debts in the hands of debt buyers, I would suggest trying to defend the cases before filing bankruptcy.

You certainly can try. The strict answer as to your entitlement to have the money back is absurdly technical. But in general the practice is to return money garnisheed on the day of (or the eve of) bankruptcy. Have your lawyer demand its return. If you don't have a lawyer in this Chapter 7 (and generally you should have one), then call the lawyer for the garnishing creditor. Good Luck.