Cancreditors go after the equity in my condo if my only income is social security?

I have a homestead and live in Los Angeles. My equity is around $50,000 and I owe $22,000 on credit cards. I’m 74.

Asked on March 12, 2011 under Bankruptcy Law, California

Answers:

M.T.G., Member, New York Bar / FreeAdvice Contributing Attorney

Answered 9 years ago | Contributor

It is my understanding that California has one of the most protective statutes for individuals when it comes to judgements and the collection by creditors.  But while your Social Security Benefits are definitely protected, the equity in your condo does not appear to be as lucky.   The judgement creditor can file a lien against the property and when you sell it it will come up in a title search.  I am assuming that you believe there to be a homestead exemption of some sort so you must have some knowledge that comes from living in California.  So I would speak with an accountant in your area.  You may also want to see what other options you have, like a home equity loan to pay off the debt (try and negotiate it down a lot before you agree to anything).  Legal help may also be a good idea. Good luck.


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