2020 has been a difficult year for people all over the world, mainly due to COVID 19. This pandemic has wreaked financial chaos, not only for governments, but also for individuals. Sadly, many people have been laid off from their jobs or have become totally unemployed. To make things even more stressful, there are still mortgages and other loans or lines of credit that need to be paid in addition to general living expenses. This is a dire situation that leaves many feeling hopeless, especially when calls from creditors and collection agencies start coming in. But there is a potential solution – judgment proofing.
When can you use Judgment Proofing?
Judgment proofing can be valuable if there has been legal action, such as a lawsuit, taken against you. If you owe a creditor money but can’t pay, the creditor can sue you in order to recoup as much as possible. Wages can be garnished, liens can be placed on real estate, and even your bank account can be affected. The process can get very ugly. This is where judgment proofing may prove to be beneficial.
How do you find out if you are eligible?
You may be wondering if this is the answer for you. Here are some of the screening questions:
- Do you have any valuable assets such as cars, jewelry, or houses?
- Do you have sufficient income to cover your bills and living expenses?
- Are you gainfully employed?
If you answered no to these questions, then you may be eligible for judgment proofing. This is a method in which someone who has a limited income, has little to no assets, and is facing mounting bills as well as regular calls from collection agencies can avoid being sued or taken to court for past-due accounts. However, you will need solid legal advice to effectively navigate through this process. The Pro Advocate Group is here to help. We can assist you by making the law work FOR you and not AGAINST you.