Asked by paul  |  Submitted July 03, 2018

I was told by an attorney I was judgment proof so i did not have to file for bankruptcy. Will this help my credit?

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  Answers  |  1

July 17, 2018

Being "judgment-proof" only means that if a judgment is secured against you, the creditor won't be able to get payment from you, because you don't have sufficient assets or income. However, you can still be sued for unpaid debts and any judgment secured against you will damage your credit score and remain on your credit report for seven years from the original date of default.
A Chapter 13 bankruptcy will stay on your credit report for up to seven years, while a Chapter 7 bankruptcy may remain on your report for up to ten years. Read the following MoneyTips articles for more information about bankruptcy:
What Happens When You File For Bankruptcy?
Bankruptcy Options and Processes

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