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Does bankruptcy filing affect Social Security Disability?

Posted on: 09th Jul, 2007 12:32 am
My husband dies on august 2003. I have a home and I'm on social security disability. I am finding it hard to pay off my debts. I need to do something to pay down the mortgage on my home. I receive only $700 a month on disability. I got some fuel assistance last year. But do you think I should go for help to the welfare office. I don't want to file bankruptcy though but then what's going to happen to my social security income? And to inform you I really don't have that much cash to file even a bankruptcy
Macs,

I do feel that you should have a talk with the welfare officer. You can tell inform them regarding your situation and try to get help to come out this situation.

Rosetta
Posted on: 09th Jul, 2007 01:47 am
Hello Macs,

I do understand your situation but I feel that there is not much to worry :) . Your Social Security income cannot be garnished, or taken away by the lenders. You will be able to keep all your monthly disability check and also eliminate your debt completely if you file for bankruptcy.

Your loan balance must be pretty low for you to be paying the mortgage using only your Social Security. This means that you may be able to protect most or all of the equity even if a lender has a lien placed against the house. This depends on what state you live in.

I would suggest that you consult an attorney to see how much of the equity in your home you can protect. Also, you may consult the lender to help you find ways to access the home equity and come out of the debt.
Posted on: 09th Jul, 2007 02:51 am
Sorry to hear about your husband's death Macs.

The condition you are in my opinion would be to get in touch with the welfare office to get some assistance. They will also provide guidance on how to come out of the debt burden you are in.

Miller
Posted on: 10th Jul, 2007 07:20 pm
Hi Macs,

Bankruptcy and social security disability are mutually exclusive of itself, have nothing to do with one onother, and have no effect on each other. You do not lose your rights by filing bankruptcy.

So, creditors cannot garnish your social security disability income even with bankruptcy.
Posted on: 11th Jul, 2007 02:17 am
I'm currently in the middle of a bankruptcy case due to the fact that I have become unable to work. I recently applied online for my social security disability and yesterday I received a call saying they could not help me because I am currently filing bankruptsy. Can you shed some light on this for me?
Posted on: 20th Feb, 2009 08:48 am
Hi Pcuf,

As far as I know, filing bankruptcy does not cancel or impact your right to receive Social Security benefits. It is quite surprising to me that you have been refused the social security benefits.

Thanks.
Posted on: 23rd Feb, 2009 04:07 am
I believe SS CAN be garnished, but that's if you get over $700.00 or $750.00 (at least in WI). They took my stimulis check of $250.00 and I get $522.00 SS. They said I owe on a student loan from 35 years ago. I don't and now I have to fight something else. It really gets me how they pick on the poor, instead of the doctors and lawyers with outstnding bills.
Posted on: 02nd Dec, 2009 04:31 pm
Hi Jude!

Welcome to forums!

Check out a discussion related to your query in the given forum page.
http://www.mortgagefit.com/bankruptcy/socialsecurity-disability.html

I hope it'll definitely help you.

Sussane
Posted on: 02nd Dec, 2009 07:52 pm
I am on social security disability.I have a bankrupcy from 2008. Three years ago,I leased an '07 Honda accord. The lease will be ending next month (March 14th 2010) and I need a loan to either buy the car that I've been leasing, or a smaller loan for a down payment on a 2010 Honda. To buy the '07 leased Honda would cost almost 14,000.00. To buy a new 2010 Honda, all I would need to put down is 5,000.00. There was also a nice second hand car costing only 8,000.00. Please tell me what I will be able to do as I do need a loan. I have a co signer which will help. Thank you, Pamela
Posted on: 10th Feb, 2010 06:34 pm
You had filed bankruptcy in 2008. In that case, I don't think you would be able to get a loan immediately. However, I would suggest you to speak to some of the lenders giving car loans and take their opinion in this regard. They will let you know whether or not you would get the loan.
Posted on: 11th Feb, 2010 12:55 am
I receive Social Security disability and also a disability check from employer where I worked before I got multiple sclerosis. I must file for bankruptcy. What will happpen to my disability checks?
Posted on: 21st Feb, 2010 10:31 pm
Hi Juanita,

As far as I know, you will be able to keep all your monthly disability checks though you file bankruptcy. The trustee won't be able to garnish your disability checks.

Thanks
Posted on: 22nd Feb, 2010 10:31 pm
I have got approved for SS disability, I also receive child support can either one in the State of Texas be garnished if I file bankruptcy? I owe aprox 62K and the attorneys are now calling me non stop. Please HELP!!
Posted on: 01st Apr, 2010 12:46 pm
Hi Meme,

As far as I know, social security income and child support are not garnished while you are in bankruptcy. However, if you deposit the amount in an account and if that account has a judgment against it, then that account can be garnished. The creditor will not check out where the amount came from.

Thanks
Posted on: 01st Apr, 2010 11:35 pm
im in a bind. i filed disability and waiting on a hearing. i wont get my hearing till next april at the earliest. my money has run out. i have to pay cash up front for drs as they dont accept credit cards. i have to be monitored im high risk for lupus and i have asthma. even if i filed bankruptcy that would only take care of my credit card what about my car insurance? i live in ohio i dont know where to go to get help. any suggestions?
Posted on: 24th Jun, 2010 08:53 pm
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