[Tatertot]

Maybe someone here has been through this. Worth asking I suppose.

I have a lot of debt, not going to be able to pay off the way it's going these days. I used up all my reserves trying to stay afloat the last couple of years. Surprised I lasted this long to be honest. Going to lose the home in a few months, no doubt.

I'm looking at starting over as a company driver. Is it in my best interest to file bankruptcy beforehand? With the bankruptcy law change a few years ago, am I looking at a mandatory repayment plan of some sort?

I sure wish I stayed as a company driver years ago.

[GTR SILVER]

..........the people you should be speaking with are an accountant and lawyer..............BOL 2 ya...!!!! :wink: :wink: :wink: :wink:

[GMAN]

It is my understanding that if you file bankruptcy, you will need to initially file chapter 11, which is a repayment program. It is up to the court and trustee to decide whether you qualify for a chapter 7 or discharge. With the new bankruptcy laws, it is difficult for most people to qualify for a discharge. They use a formula to determine the amount you need to repay. You really need to consult with a bankruptcy attorney who can best advise you as to your options. Perhaps something could be worked out so that you won't need to file bankruptcy. Good luck to you.

[person]

check out if you get to keep X amount of equity that's in your house upon bankruptsy, or something like that. I know there were laws like that places.

[Tatertot]

Alright thx. I'll try and find an affordable lawyer and see what to do next.

[GMAN]

I believe attorney fees are set or approved by the court if you file chapter 11. With the new laws, you may not need any up front money. I would suggest you try to work something out with your creditors before filing for bankruptcy. There are consumer credit agencies in most major cities. They might help you to work something out without bankruptcy.

[TDS]

Originally Posted by GMAN

I believe attorney fees are set or approved by the court if you file chapter 11. With the new laws, you may not need any up front money. I would suggest you try to work something out with your creditors before filing for bankruptcy. There are consumer credit agencies in most major cities. They might help you to work something out without bankruptcy.

Check out this site...... http://www.daveramsey.com/

[MedicineMan]

Unless you tied your houe to your busines they in most cases can not take it unless you havn't mad the payments. ALmost everywhere your house comes under protected prperty but it could be different where you are.
Bankruptcy is what people do to get collection agencies to stop calling. If you can handle them then just don't pay the bills and let them get a judgement against you. In TX I know a judgement is good for 1 years and then it falls off. Bankruptcy is 7 to 10 years so as long as you don't own too much property that isn't a protected asset then I'd just let them get the judgement. Your credit will be clear in 10 years and you won't be branded with the Bankruptcy on your credit report.
here is a link to a site with a bankruptcy means test to see which you qualify for and it has lots of good info

http://www.legalconsumer.com/bankrup...means-test.php

[Twilight Flyer]

Bankruptcy clears in 10 years, too. Anything negative on the report does, including judgements.

Something to keep in mind. In many cases, if there are a lot of judgements, that can be seen as worse or at least as bad as a bankruptcy. A Chapter 11, where the person is requesting the opportunity to pay off bills, actually shows they were at least being responsible. Letting judgements go into write-offs, shows differently.

Either way, the OP needs to contact a bankruptcy lawer. Contemplating bankruptcy is a huge, huge decision.

[MedicineMan]

yes yes yes. This HAS to be decided upon with qualified individuals helping you.

Just to let you know. I had an asphalt company and lost it a few years ago. Ended up in debt to the tune of about $500k. EVERYONE aid I couldn't manage the debt but being stuborn like I am I said "we'll see about that" I spent the last thre years paying that debt off, Making $140k a year betwen my wife and I and not having enough money to by clothes, fix the house etc. Nothing quite as nasty as eating beans and rice for weeks on end let me tell ya. I've been selling of my car collection, tools, basically anything I could whenever anything came up that we couldn't afford. Last year I sold my expensive farm in WI and moved to TX and bought a place for 1/4 the price and paid ff more things and lowered my monthly commitments quite a bit. Unfortunatly I underestimated the pay rates and employment in this area. I took a local job and they couldn't keep there equipment running long enough to get a decent check.
Right now I'm right back in the same boat haven fallen off the payment plans and with no way to get back on. Prtty much everything ha gone to collection so I really feel for ya bud. We were looking into bankruptcy and between a bankruptcy attorney and the attorney my wife works for we have come to our decision but these were all the options we had to consider. You need to consider them all and you need to talk to someone who knows the laws in your state as to what can happen to your assets.

Good luck