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Debt and Bankruptcy

What happens to your debt if you become disabled?

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2005-11-29 14:28:34
2005-11-29 14:28:34

The debt(s) remain valid and collectible. The debtor might wish to try negotiating terms that would be better suit the change of their financial status, but there are not laws that protect anyone from debts owed due to a disability. In most cases the disabled person has little if any property that can be attached by creditors when it pertains to a lawsuit. All Social Security and other disability benefits are exempt to garnishment; likewise disability funds held in a separate bank account are not subject to creditor levy. It is extremely important that benefit funds not be commingled with other money in a bank account. Please be advised, disability benefits are usually not exempt when it pertains to child support, spousal maintenance or the collection of federal or state taxes.

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I am answering this question for the United States. If you have debts, becoming disabled will not eliminate them. Also, it is no longer as easy to eliminate credit card debt by filing bankruptcy, which large medical bills from becoming disabled might lead to. If you became disabled because of an outside source (on the job, in an auto collision, etc.), and you accumulated debt for related treatment, you might receive a settlement to cover the expenses associated with it.

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Michael Phelps is not disabled...

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he got disabled at the age of 20

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She became disabled when she was 19 months old

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i am a single disabled father looking for gov. loans or grants to get out of debt ,and start a small business.

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Being disabled has nothing to do with debt liability. If both spouses signed the contract, then both are liable. Also, there may be different debt liability in a community property state. You need to be more specific. State laws vary.

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Legally there is no debt, if it can't be validated.

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Homeowners insurance does not cover your mortgage if you become disabled. You would need to obtain mortgage protection insurance for that.

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that's what the vice president is for.

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You will begin receiving benefits when you retire or earlier if you become disabled.

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No, at 62, unless you become disabled.

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you get banned on bin weevils and your chat is disabled

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What happens to a mortgage after bankruptcy depends on whether or not the debt is reaffirmed. If the mortgage is reaffirmed the homeowner continues to pay it as if the bankruptcy had not been filed, since the debt has not been discharged. If the debt is not reaffirmed, what happens to the mortgage depends on the policies of the individual lender.

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First you have to become disabled and join the military. The rest is up to the military if they choose you to become part of the world.

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The debt is owed to their estate.The debt is owed to their estate.The debt is owed to their estate.The debt is owed to their estate.

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If a debt collection gets sold the new company can start trying to get the money. If you do not admit to the debt, they can not restart the debt all over.

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If you become permanently disabled or die. That's it.

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You can become a NCR registered Debt Counsellor by completing a debt counsellor's course with a NCR accredited training provider. Once the training provider has found you competent, you can apply to the NCR to be registered as a debt counsellor. Only once you have been registered can you start taking clients for debt review. Go to http://www.ncrdebtcounsellor.co.za for any questions about debt review or debt help.

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Yes, but when it happens you get retards (mentally disabled people)

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About 3-4% of adults are disabled temporarily each year by LBP, with another 1% of the working-age population disabled completely and permanently

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they become president because there next in line a president has a vice president because if anything happens to the president the vice president knows what to do because he/she has been there the whole time and knows the responsibility of the president

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The vice-president would take over, until such time as the president could return to his duties. If the president were to die, the vice-president would become president.


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