Should I file for bankruptcy?

Question

I'm 25 years old but I made very bad decisions with credit cards and loans and ended up having bills that were higher than my income. I've recently lost my job and therefore cant afford to pay for anything. I dont own a home, I live with my parents now. I have a car that I make payments on, which have recently gone behind slightly. I have debts going into collections and I have a credit card company threating to take me to cout for the past due amount of $4800. I'm about $12,000 in debt, not including my car or student loans. Would it be best to just file for bankruptcy? What happens if I do file? I dont own any posessions other than a tv, laptop, and car, but I think in Chapter 7 you keep your car. So I have nothing for my creditors to take from me, really. I recently lost my job and I'm trying to find a new one. Having no income makes it impossible to pay what I owe. Should I file for bankruptcy? What happens to my debt and if I do?

Answer 1

Call consumer credit counseling service it is a government run program so there is no cost hopefully they can help you. Your credit is already ruined but possibly can be saved with their help if you file bankruptcy you still will probably have to pay these people back (change in laws not automatically wiped out now) at a lower rate, but it will remain on your credit score for 10 years.

Answer 2

If a person has accumulated a large amount of credit card debt due to multiple credit cards, the need for a proper counseling for credit card debt consolidation can't be understated. Credit card debt consolidation counseling helps a person get vital insights into the facts that can help him get control over the credit card debt.

Credit card debt consolidation counselors are experts with a good knowledge of debt management, budgeting and behavioral patterns of credit card holders. These services are vital for those struggling to manage their credit card debts. Also called credit counseling or debt counseling the credit card debt consolidation counseling brings immediate relief to a credit card holder.

A person seeking credit counseling can get it from two types of organizations. The professional or commercial organizations, and the non-profit organizations. As depicted by its name or categorization, the commercial organizations charge money for their credit counseling sessions and consolidation help on the other hand the non-profit organizations offer free of charge services. Just because the non-profit organizations are free, it doesn't undermine their quality of service. The persons associated with such organizations are thorough experts and have lived the trauma of being under credit card debt themselves and hence bring their vital experience to the credit card holder.

When a person approaches a credit counseling agency, the first thing it will do is to take stock of the situation and get various facts about the credit card debt. The credit counseling agency collects data about the income, expenditure and spending habits. It will guide the credit card holder about budgeting benefits and try to inculcate good financial habits. Read more from: http://www.credit-card-gallery.com/article/353,Credit_card_debt_consolidation_and_credit_counseling_great_tools_to_get_rid_of_credit_card_debt

Answer 3

think very hard before you do this. My idea would be to see a credit consolitation co. and get advice because if you do claim bankruptcy when you need a mortgage or credit ,you will be out of luck. get a job,any job for now to help with your finances.

Answer 4

Hi,
I used "Credit Solution" to settle my debt and avoid bankruptcy.They managed to reduce my debt up to 58%.It's legitimate.I came accross this company on NBC News Special Edition.Check it out here:
http://tinyurl.com/2gbdzu

Answer 5

Hell no, we don't want to pay your debt, get a freaking job or TWO and pay your own debt!