Would filing bankruptcy get rid of the debt I owe from being involved in a car accident while uninsured? 11 Answers as of November 30, 2016

The accident happened in 2013. I have been making payments monthly since the other party’s insurance company contacted me. Originally, they said I owed something in the ballpark of $8,000, but a year later they changed it and added an additional $10,000. My spouse and I both work minimum wage jobs and have been late on a few payments, so they have contacted my state’s DMV and got my license suspended twice. It is currently suspended and my states law says that after a second default on a payment agreement like this, my license will stay suspended until my debt is paid off! I still owe upwards of $13,000!! I am the only one in my household that drives and this is causing day to day hardship in my life. I can't get my kids to and from school or doctor’s appointments or myself to and from work. It will take me years to pay off this debt as it is. Will bankruptcy help?

Ask a Local Attorney. 100% Anonymous. Free Answers.

Free Case Evaluation by a Local Lawyer: Click here
Ronald K. Nims LLC | Ronald K. Nims
Bankruptcy will eliminate the debt and get your license reinstated. All you'll have to pay is the reinstatement fees.
Answer Applies to: Ohio
Replied: 11/30/2016
Eranthe Law Firm
Eranthe Law Firm | Cate Eranthe
Bankruptcy may help. You need to go see a knowledgeable local bankruptcy attorney for advice. It is a very fact specific area of the law and there is not enough information here to answer your question.
Answer Applies to: California
Replied: 11/28/2016
Stephens Gourley & Bywater | David A. Stephens
I will, as long as you were not under the influence of alcohol or drugs at the time of the accident.
Answer Applies to: Nevada
Replied: 11/22/2016
GARCIA & GONZALES, P.C.
GARCIA & GONZALES, P.C. | Richard N. Gonzales
I have filed numerous bankruptcies with similar issues, and never had a problem. If the debt arises from drunk driving, that is a problem. Otherwise, filing BK should discharge the debt and allow you to get your driver's license back.
Answer Applies to: Colorado
Replied: 11/22/2016
Portland Bankruptcy Law Group
Portland Bankruptcy Law Group | Christopher J. Kane
Yes, if you file bankruptcy that will rid you of that debt, as long as drugs or alcohol were not involved in the accident.
Answer Applies to: Oregon
Replied: 11/18/2016
    Marc S. Stern
    Marc S. Stern | Marc S. Stern
    Assuming that drugs or alcohol are not involved, it should be dischargeable.
    Answer Applies to: Washington
    Replied: 11/18/2016
    A Fresh Start
    A Fresh Start | Dorothy G Bunce
    You are describing a very common reason why someone who has been otherwise responsible with credit might need to file bankruptcy. Often DMV will reinstate your license immediately after receiving notice that you filed bankruptcy. To facilitate this moving forward ASAP, be sure to retain an attorney with experience with this specific issue.
    Answer Applies to: Nevada
    Replied: 11/18/2016
    Janet A. Lawson Bankruptcy Attorney
    Janet A. Lawson Bankruptcy Attorney | Janet Lawson
    Contact local counsel. I am not sure which state you are in. you should be able to discharge the debt and get your license back.
    Answer Applies to: California
    Replied: 11/18/2016
    OlsenDaines | Rex Daines
    Yes, as long as there was not an injury caused by the use of Alcohol then this debt can be eliminated in a bankruptcy. After the bankruptcy is over, your attorney will need to file some additional paperwork in the county court where the insurance company sued you.
    Answer Applies to: Oregon
    Replied: 11/18/2016
    Law Office of Stuart M. Nachbar, P.C.
    Law Office of Stuart M. Nachbar, P.C. | Stuart M. Nachbar
    It all depends on whether or not the accident involved drugs or alcohol. Those can not be discharged, while if that is not the circumstance, they may be able to be discharged. As the question did not include those relevant factors, I can not advise any other way except to state contact a bankruptcy attorney in your jurisdiction.
    Answer Applies to: New Jersey
    Replied: 11/18/2016
    Law Office of J. Thomas Black, P.C.
    Law Office of J. Thomas Black, P.C. | J. Thomas Black
    Yes. If you file bankruptcy, either chapter 7 or chapter 13, and you otherwise qualify, the uninsured claim for damages against you can be discharged or canceled in bankruptcy without paying it, and you can get your Texas Driver's license back by having proof of insurance (SR-22) and paying a reinstatement fee. The exception to this if the judgment is not dischargeable in bankruptcy, such as if you were Driving While Intoxicated or DWI when you had the accident.
    Answer Applies to: Texas
    Replied: 11/18/2016
Click to View More Answers: