My attorney told me I am “judgment proof” - what does that mean?

If all your assets and income are protected by law from a creditor who obtained a judgment against you - you are judgment proof.

Your individual state laws determine what property is protected from a creditor. For example, in Texas a creditor, such as American Express or Discover, cannot take your homestead to pay the debt.

However, being judgment proof is not a permanent condition. If your financial situation improves, the creditor may be able to collect in the future. Any time you are sued you should consult with an attorney to determine what, if any, assets you may have at risk.