Because I was not paid my salary and was out of work, I am in financial trouble. Credit card collector have been calling me day and night. My car has just been repossessed. i do not want to file bankruptcy but can't help it. Would this affect my change of status when that time comes. Also is debt reduction better than bankruptcy as far as AOS is concerned, or are they the same?
Thanks.

Dondie.
I am in the same financial situation. One of my friends said that when she had her AOS, INS (then) never asked for your credit history. What is important is for you to look for a financially stable sponsor. Good luck!

if you are an alien, your credit history has nothing to do with AOS, unless your sponsor don't earn enough to meet the poverty bar,OR you are filing taxes jointly to meet the poverty bar.
If your sponsor have paid taxes for last three years and meet the poverty bar, then you are fine, other wise you have to get second sponsor to meet the poverty guidelines .
If you get second sponsor then you have to know that he will be responsible for alien for ten years.

mohan,
where can we find info about poverty bar.
what is that?
I have a prospective employer but i do not know their financial background. Do you suggest that i should verify? They are a consulting/ staffing agency registered since 1994, but i do not want to ask their financial background and they are willing to sponsor my LC. Thanks.

you did not understand properly what I said. when you go for AOS you have to have sponsor who should meet the Poverty line requirement. If you are On H1B and sponsored by employer then you should be taking LC route, Yourself should have been in the same profession for last three years, filed taxes for last three years etc. your employer who filed LC for you should have paid you salary which is equvelent to the salary of USC in the same profession, there are other requirements too.
The above answer( IN my Last Posting) I posted presuming the Alien is doing AOS based on marriage and Sponsor( USC) has to meet these r equirements. Process of H1B following AOS is different then Marriage cases.