Question to bankruptcy attorneys and or trustees?

Question

SORRY TO REPOST MY QUESTION IS NOT RESOLVED.
I'm thinking about filing Chapter 7 but do not know if im eligible. Here's my situation, I make 19k a year which is below the median; I have no property/assets or savings. I owe 23k on the car and 18k on 3 credit cards. If i sell the car I still owe 8k. I tried to negotiate with my car's creditor and that's the best rate they can do. The reason why I want to liquidate my debt is because I want to go back to school full-time. Save money and rebuild credit while in school. If i continue paying my debt (5 more years) I will not have savings and an education. I don't mean to be a deadbeat on my debts but this is the best solution i can do in order to straighten my life, financially and responsibly. I don't want to do Chapter 13 for my credit card debts-- this will waste my time, money and get a ruined credit report. Question is if im eligible to file CH.7
I'll face the consequences: lawyer fees,bad record for 10 years, higher rates.you name it

Answer 1

You're best bet is to go in and talk to a bankruptcy lawyer. A lot of them should have free consultations and will be able to tell you then if you're eligible or not. And don't feel like a deadbeat, sh*t happens to all of us at one time or another :)

Answer 2

You can find the best solution for you at: SALESQUOTES.INFO-

RE Question to bankruptcy attorneys and or trustees?

SORRY TO REPOST MY QUESTION IS NOT RESOLVED.
I'm thinking about filing Chapter 7 but do not know if im eligible. Here's my situation, I make 19k a year which is below the median; I have no property/assets or savings. I owe 23k on the car and 18k on 3 credit cards. If i sell the car I still owe 8k. I tried to negotiate with my car's creditor and that's the best rate they can do. The reason why I want to liquidate my debt is because I want to go back to school full-time. Save money and rebuild credit while in school. If i continue paying my debt (5 more years) I will not have savings and an education. I don't mean to be a deadbeat on my debts but this is the best solution i can do in order to straighten my life, financially and responsibly. I don't want to do Chapter 13 for my credit card debts-- this will waste my time, money and get a ruined credit report. Question is if im eligible to file CH.7
I'll face the consequences: lawyer fees,bad record for 10 years, higher rates.you name it

Answer 3

If the debtor's "current monthly income" is more than the state median, the Bankruptcy Code requires application of a "means test" to determine whether the chapter 7 filing is presumptively abusive. Abuse is presumed if the debtor's aggregate current monthly income over 5 years, net of certain statutorily allowed expenses, is more than $10,000, or 25% of the debtor's nonpriority unsecured debt, as long as that amount is at least $6,000. The debtor may rebut a presumption of abuse only by a showing of special circumstances that justify additional expenses or adjustments of current monthly income. Unless the debtor overcomes the presumption of abuse, the case will generally be converted to chapter 13 (with the debtor's consent) or will be dismissed.

Chapter 7 Eligibility

To qualify for relief under chapter 7 of the Bankruptcy Code, the debtor may be an individual, a partnership, or a corporation or other business entity. Subject to the means test described above for individual debtors, relief is available under chapter 7 irrespective of the amount of the debtor's debts or whether the debtor is solvent or insolvent. An individual cannot file under chapter 7 or any other chapter, however, if during the preceding 180 days a prior bankruptcy petition was dismissed due to the debtor's willful failure to appear before the court or comply with orders of the court, or the debtor voluntarily dismissed the previous case after creditors sought relief from the bankruptcy court to recover property upon which they hold liens. In addition, no individual may be a debtor under chapter 7 or any chapter of the Bankruptcy Code unless he or she has, within 180 days before filing, received credit counseling from an approved credit counseling agency either in an individual or group briefing. There are exceptions in emergency situations or where the U.S. trustee (or bankruptcy administrator) has determined that there are insufficient approved agencies to provide the required counseling. If a debt management plan is developed during required credit counseling, it must be filed with the court.

One of the primary purposes of bankruptcy is to discharge certain debts to give an honest individual debtor a "fresh start." The debtor has no liability for discharged debts. In a chapter 7 case, however, a discharge is only available to individual debtors, not to partnerships or corporations. Although an individual chapter 7 case usually results in a discharge of debts, the right to a discharge is not absolute, and some types of debts are not discharged. Moreover, a bankruptcy discharge does not extinguish a lien on property.

http://www.uscourts.gov/bankruptcycourts/bankruptcybasics/chapter7.html

Answer 4

The simple fact of the matter is that it is not your choice any more. You now must go through bankruptcy counseling and meet qualifications in order to file. Laws vary depending on what state you live in. Keep in mind that bankruptcy, forclosure and/or repossession of a vehicle are death on your credit report and can affect employment, renting apartments, etc for TEN years. Yes, for a chapter 7 bk it is now 10 years. It should be considered only as a last resort. I would go to www.abanet.org (american bar association website) and look up some legal assistance in your area and then call and ask your questions.

Answer 5

With the changes in bankruptcy laws, you really need to consult a bankruptcy attorney. But your total debt is pretty small for Chapter 7.

How are you planning on paying for school? Student loans? Bankruptcy could be a problem.

Answer 6

lets see you had 5 years of the good life running up debt you really may or not in-tented to pay and you are looking at 5 years to square away your past misdeeds. lets say you could go ch 7 where are you planning on getting the money for school. i think the best thing for you to do is try to not take the 5 years but get it squared away in maybe 4 and forget about bankruptcy.

Answer 7

For Credit and finance solutions I always recommend this site where you can find all the solutions. http://personalcreditsolutions.info/index.html?src=5YAhih52VaKMtd1

RE :Question to bankruptcy attorneys and or trustees?
SORRY TO REPOST MY QUESTION IS NOT RESOLVED.
I'm thinking about filing Chapter 7 but do not know if im eligible. Here's my situation, I make 19k a year which is below the median; I have no property/assets or savings. I owe 23k on the car and 18k on 3 credit cards. If i sell the car I still owe 8k. I tried to negotiate with my car's creditor and that's the best rate they can do. The reason why I want to liquidate my debt is because I want to go back to school full-time. Save money and rebuild credit while in school. If i continue paying my debt (5 more years) I will not have savings and an education. I don't mean to be a deadbeat on my debts but this is the best solution i can do in order to straighten my life, financially and responsibly. I don't want to do Chapter 13 for my credit card debts-- this will waste my time, money and get a ruined credit report. Question is if im eligible to file CH.7
I'll face the consequences: lawyer fees,bad record for 10 years, higher rates.you name it
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