Would you ever file bankruptcy?

Question

My husband lost his job and i went on bed rest and maternity leave right at the same time. He has another job making alot less and hour and i just got started back to work ...... but....... We are so behind and backed up we can't get caught up. We are trying to sell our house before it forecloses and we are 3 or 4 months past due on all of our many credit cards and small loans. I also have a car payment every month. Our credit is screwed right now because of all this. I am tired of bill collecters calling me. Our bank said to do debt consolidation through them. Should i do that or bankruptcy? WE are desperate. or should we just use our paychecks to slowly try to get caught up?

Answer 1

to even file bankruptcy one must meet a lot of qualifications-is not really that easy to file anymore-maybe u should call in financial experts to help you get back on track-they charge but they can "Git-R-Done". Good luck, and the free consultants as advised above is a great option

Answer 2

If you have no chance of ever getting caught up, then bankruptcy is probably the best option. But you can't file again for 7 years, while the info stays on your credit record for 10 years.

Debt consolidation is no better and frankly, I don't think the bank has your best interest in mind. They just want to collect the interest that everyone else is getting right now. It just rolls several bills into one bill that's still about the same amount of money. You need debt reduction, as well as consolidation and that requires a debt counseling service, a legitimate one.

While debt counseling is not going to help your credit record, bankruptcy will damage it a LOT worse. And while debt counselors charge for their service, they can spread out the payments where bankruptcy lawyers will not act until they're paid in full.

Been there, done it, not ashamed of it, but can definitely recommend less painful alternatives.

Answer 3

OK, you need help. Bankruptcy is not necessarily the answer if you both have jobs and you have a house. Bankruptcy is a last resort and will stay with you for many years. There are many alternatives which you should explore before you go that route.

Debt consolidation may be your answer, so might debt relief. There's a simple explanation of the differences on this website. There are also lots of links which might help with further options. Do your own research and you will find your way out.

Good luck!

Answer 4

I wouldn't ever do it again. It really messes things up. Debt Consolditation is a good way to go, but they only give you so much to live off each month for groceries and gas. So you may want to consider it. But if you file bankruptcy, file the one in which you can choose to make the payments on the house and one car. This way, when all done, you still have some credit to get you back on your feet. Stop using Credit Cards, for awhile. After my bankruptcy, I went to cash, then back to Credit Cards, I saw a problem, stopped using the cards, paid the balance and am sitting in good shape right now. Just some thoughts. But, ultimintly it is your choice.

Answer 5

You can always talk to a bankruptcy lawyer, they can give you more ideas on what to do. Usually the first consultation is free and you can decide from there. Don't feel like you are alone this is happening all around the USA. I watched the news a couple nights ago and they are predicting foreclosures and bankruptcy to double by the end of the year.

Answer 6

Tighten up sis! You'll never be able to retire at this rate. They say filing bankruptsy isn't a big deal anymore. You can have credit again in a year or so. I'd try the debt consolidation first. Stretch it out so yer payments aren't so big, and save all the money you can, aND STILL HAVE FUN.

Answer 7

Lots of people think that once they’ve filed for bankruptcy they will be unable to ever get a loan again, and ultimately they are unable to do anything financial ever again. This isn’t always true, there arewill help to improve your credit history in a number of different ways.

Answer 8

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://memurl.com/kitalo

Answer 9

Go to this site: http://www.nfcc.org/ . They are a legit non-profit company. They offer free credit counseling and have debt management programs available, if you qualify, at no fee. They can look at all your debt and advise how you should proceed.