I am trying to decide whether I should file for bankruptcy and if it is worth it in the long run.
My scores are all in the high 400s. This is the lowest ever. I am in my early 30's, single parent to one child. My monthly gross is over $5000. I have a garnishment of $200 a month that belongs to a relative from when I was a minor. A judgement was entered on me as well as the true responsible party back in 2004. Now that I am working a full time steady job they came after me. I have been seeking free legal assistance but do not qualify. The garnishment originally started in December 2017 in the amount of $800 monthly. This caused me to get behind. I have always had bad credit since age of 19 partcially due to the judgment and some medical bills. I have recently gotten behind on all my credit cards but one and had my car repossed.
I live 1.5 hours from my job and now have no transportation. I do not qualify for another car without a huge down payment and a horrible interest rate. I have $30,000 in student loans currently in deferment (I know these cannot be included if I file). I have $12,000 in collection debt (some of which includes medical bills). I also have $7,000 in debt to my former college (not a loan) for which i was dropped from my final course needed to complete my BA almost 5 years ago. I also have $16,000 debt from a private school my daughter attended. Although i had scholarships i had debt from her first year that the school originally was cconsidering writing off but never did. I have one good discover secured card with a very low balance.
I cant rent a car cause no major credit card and credit situation overall plus its like $1,000 a month. I dont live near a transportation system that can get me from my home city to where I work. I really need a car that can withstand a long commute. Car dealer advised me to file to stop garnishment and said I would have better chance at getting a car even before everthing is discharged. Although the rate would still be bad. I am concerned about after filing. Is it worth it? Will it take forever to build credit.
Sadly i have had bad credit my whole adult life no matter how I tried to rebuild or avoid it. I also hope to move closer to my job when my lease ia up but im worried if I file no one will rent to me. I am also worried that with my recent score drop I probably will still have hard time finding a place even If i dont file.