Debt Smashing Q&A | Live with Attorney John Skiba

TL;DR

Consumer attorney John Skiba discusses debt-related topics, including bankruptcy, debt collection lawsuits, wage garnishment, and legal resources for consumers.

Transcript

hey everybody John skiba here from the consumer Warrior YouTube channel it's Thursday night everybody welcome back to the channel tonight uh Thursday evening here like we are each and every week on a Thursday night talking about all things debt related whether it's bankruptcy debt collection lawsuits the voice is already failing or is or if it's a ... Read More

Key Insights

• 🤨 Arizona's recent law change reduced wage garnishment from 25% to 10% after objections are raised.
• 📼 Different exemptions exist in each state to protect assets from being seized in debt collection lawsuits.
• 🧑‍🤝‍🧑 Roommates, even if they share bills, are not treated as a married couple in bankruptcy proceedings.
• 💾 Filing for arbitration early in a debt lawsuit can save judicial resources, but it is not always necessary.
• 💳 Paying off a vehicle with a credit card before filing for bankruptcy could raise fraud concerns.
• 💌 Emails are typically preferred over traditional mail for communication between attorneys for convenience and efficiency.
• 🧡 Compulsory arbitration may be required in certain states for lawsuits within a specified monetary range.
• 📁 Filing an answer in a debt lawsuit is recommended to avoid a default judgment, even in states without a requirement for it.
• 🍉 Calculating the start of the statute of limitations in debt lawsuits depends on the specific terms and actions related to the debt.

Questions & Answers

Q: Can wage garnishment in Arizona be reduced from 25% to 10% after a change in the law?

Yes, the law in Arizona now allows wage garnishment up to 10% after a change in the statute. However, objections can be raised within a specific timeframe to reduce the amount further.

Q: If a judgment is obtained against me by a bank for credit card debt, can they seize my house or car?

After obtaining a judgment, creditors can potentially garnish wages, levy bank accounts, or place liens on a home. However, exemptions exist in each state to protect certain assets.

Q: In bankruptcy, how does the court consider the income of a housemate who shares bills but is not romantically involved?

The bankruptcy process typically differentiates between legally married couples and roommates. Income and expenses of each individual can be disclosed separately unless alternative arrangements are made.

Q: After filing an answer in a debt lawsuit, should you proceed with discovery or file for arbitration?

It is generally recommended to proceed with arbitration if a mandatory arbitration provision exists. However, extensive discovery may not always be necessary, as the burden of proof lies with the plaintiff.

Summary & Key Takeaways

• John Skiba, a consumer attorney in Arizona, discusses various debt-related issues, including bankruptcy, debt collection lawsuits, and wage garnishment.

• He highlights resources such as Solo Suit and Consumer Warrior University that provide assistance with debt-related matters.

• Skiba also answers questions about wage garnishment in Arizona, what creditors can take in a judgment, how bankruptcy works in relation to shared bills, and the consequences of paying off a vehicle with a credit card before filing for bankruptcy.