Is filing banrupcy a good idea?

Question

I know it is never a good idea but we have hit an all time low. There have been some horrible issues that have happened to us and our family and this is looking like our only option.
We had a son born very prematurely and the hospital bills are CRAZY (that was 2 years ago, we paid them down but they are still crazy) my husband health insurance was and is GARBAGE!
Then we bought a house while we were selling our old house and the buyer at the end fell through so we had 2 house payments for 1-1/2 years.
Then we had our second child which was an emergency c-section and he was hospitalized for 3 weeks because he was breeched and footing and his leg was injured.
And just a million other little things happened.
Is there any other way out????

I did call the hospital, my son was 13 weeks early and he was there for a long time. And even after we "negotiated" new prices we are talking a bill around 60,000 that we have to pay. And we pay as much as we can every month. Then with the house and everything. We don't have new cars, we don't have anything expensive, we watch every penny. My husband even went and asked for a raise and his boss said even if I give you a raise it will not help you. :-(

*** I just realized I spelt BANKRUPCY wrong*** I have a lot on my mind SORRY *sigh*

All we would have is our house payment and utilities. We have no car payments. But we do have credit cards because that is how we were making ends meet with the double house payment.
SO do you think it is a good idea for us or should we look into something else.

I am very upset that this is even where we ended up. I feel like a failure. I really do. I know I am not the only one in this situation or the only one who has had to ever do this but how do you get over feeling like a looser. I guess I am just depressed by all of this. We tried we really did but we are so to the bottom of the barrel.

Answer 1

I think you or your husband should but not both so one of you has some credit.

Answer 2

In your situation, I would definitely file bankruptcy. There is no way to recover from the medical bills and credit card debt you have incurred due to all of the unexpected events in your life.

I would see a reputable bankruptcy lawyer in your area asap and talk to them. There is some criteria you have to meet to file chapter 7 but more than likely your cars and house are exempt depending on how much equity you have in your home. The worse case scenario would be that you have to file chapter 13 with a minimum of a 3 year repayment plan (the longest they will do is 5 years....they never would take ALL your money every month, don't worry)

Bankruptcy is not the end of the world. I filed chapter 7 and it is all done now. I do not regret it. It was the best decision I ever made. Now I am just scared of getting into debt again...so I have turned into the scrooge.

But go file....you will feel so much better.

All that matters is that your kids are healthy now...that is the most important thing.

As previously stated, bankruptcy is NOT immoral nor a sin.

God Bless You!

Answer 3

File bankruptcy if its right for you it is not immoral.

Its really unfortunate that in this country normal people can get in so much financial trouble because of medical bills. Make a plan, first pay yourself in an IRA, then make sure you pay your secured debt such as your mortgage and your car payments also your utilities.
Only after that pay your credit cards and other bills.

The "rich" file bankruptcy without a care (Leona Helmsley, Trump, every large corporation..., etc.)

Answer 4

Well, bankrupcy is never something to go into casually, but in your situation it might actually be your best answer. I assume you've already talked to the hospitals, and told them of your problems, and asked them to cut the bills back - sometimes they will.

Good luck - I hope all is well with your children now.

Answer 5

You certainly meet the criteria to file.
Depending on your assets and debt to equity ratios a good lawyer can tell which chapter to file.
Good luck