How to Answer a Credit Card Summons If Intending to File for Bankruptcy

If you're contemplating filing for bankruptcy, it logically follows that you have more debt than you can handle. But since the passing of the Bankruptcy Abuse Prevention and Consumer Protection Act (BAPCPA) in 2005, qualifying for, and filing for, bankruptcy has become a little trickier. You can usually still do it, but there might be delays. If one of your creditors sues you before you file, you must act quickly.

Instructions

1

Read the summons. This is a one-page document attached to the front of a legal complaint. The complaint initiates the lawsuit against you for the money you owe; the summons is just an official notice telling you that your creditor is suing you. There should be a date for a court hearing on the summons. If not, call the court to find out when the hearing is scheduled.

2

Go to the courthouse where your creditor filed the lawsuit against you. In most cases, this is the state court in the county where you live; it should appear on the top of both the summons and complaint. Tell the court clerk that you want to file an "appearance" to the complaint. An appearance is similar to an answer, but it doesn't list your arguments as to why you don't think the court should enter a judgment against you for the money. It simply lets the court know that you're going to appear in court on the date of the hearing.

3

Consult with a bankruptcy attorney immediately, before the court date. Find out if you can pass the "means test," so you can file for bankruptcy right away. Under the BAPCPA, you can file for Chapter 7 protection immediately if your average income over the last six months is less than the median income for your state. Otherwise, you must determine your disposable income, or what you have left over after paying all your mandatory living expenses. If it's insufficient to pay off your debts, you qualify for a Chapter 7. The United States Bankruptcy Code limits the dollar amount of most mandatory living expenses, so you may need an attorney to tell you whether or not you qualify.

4

Go online to the website of the U.S. Bankruptcy Court to find an approved credit counselor in your area. Under the terms of the BAPCPA, you have to have credit counseling within six months of filing a bankruptcy petition. Many of the approved counselors allow you to take the course online. You should do this before the court date for the lawsuit your creditor filed against you.

5

Appear in court at the designated time. If you've been able to file for bankruptcy before this date, give the judge a copy of your filed petition. As long as you listed the credit card company as a debtor in your petition, the judge cannot hear the case or make a decision. Your bankruptcy prohibits the creditor from doing anything to collect the money from you.