What assests are protected after a notice that I am being sued for credit card debt? 21 Answers as of February 13, 2012

Once a creditor gets a judgment, your assets are subject to execution. There is a long list of exemptions in the Cal, Code of Civil Procedure. Your 401K is exempt; your wages are not.Generally , a creditor can only get 25% of your wages. Bankruptcy will stop all collection action.

There is a lengthy list of things that are exempt either partially or fully from the reach of your creditors. However, your wages are generally garnishable up to 25 percent. Depending on the amount of your unsecured debt, you may want to consider bankruptcy.

401K should be protected, they can garnish after a judgment up to 25% of your wages or freeze your bank account. My suggestion is to talk to a bankruptcy attorney to see what options you have.

It depends on a variety of factors and details. Your attorney will be able to tell you exactly what assets are at risk, and whether it's possible to protect them. Your attorney will also be able to provide recommendations to avoid collection activity altogether, so these issues are not a concern.

The worst case scenario is that you'll lose the case on a default by not retaining a lawyer or answering the complaint, then you'll be liable for the debt itself and the attendant costs. Then, your wages and bank accounts can be garnished (not entirely, but up to a certain percentage) for however long it takes to pay off. Additionally, other assets can be attached with liens or the like, if available. And your credit rating takes a hit. Best case scenario is typically that you hire a lawyer and they negotiate a payment plan or a payoff where you save some part of the debt and the legal case goes away. Either way, you shouldn't ignore the complaint and summons, and should try to consult with an attorney in your area as soon as possible.

401k is protected, social security income,, but any other assets or bank accounts are open to be frozen or liens put against them. And they will garnish your salary after they get a judgment.

Only your homestead property (primary residence that you own), any income from social security, veteran's benefit, etc. are protected. Everything else is fair game, including your car, your funds within bank accounts, wages, etc. Once they obtain a judgment against you, they can start the garnishment process or put a lien on your personal property. If you transfer them to anyone else right now, it will be considered bad faith and the creditors can still reach it. Bankruptcy can stop the credit card suit, protect your assets from being seized, and protect you from wage garnishment. It can also wipe out all your unsecured debt. You should consider bankruptcy if you cannot pay the debt and you fear that your assets and wages are in danger.

401k is safe but your wages can be garnished, bank account levied and a lien put on your real estate after a judgment is issued. Those are the main risks.

No assets are protected per se but something like social security benefits are exempt from being taken by creditors under the law. If you want an accurate assesment of your particular case I suggest you consult with an attorney.

A 401(k) is protected but a creditor could go after wages, bank accounts, and other wages. If you file for bankruptcy, you will get other protections and if you qualify you could protect all of your wages and savings. But you need to make sure you qualify for a bankruptcy.