Greetings folks,
First of all, let me commend the forum owner on a fabulous resource. It has been a wealth of information and I intend to visit here quite often as I begin this path to a new life. I also want to say thanks to all the people who post their wonderful words of experience.
My situation is unique, as are the stories of many of you. I don't think it is necessarily as complex, nor as hopeless as many that I have seen. Nevertheless, it is still frustrating and depressing and I hope to get strength from resources like this as I step through this process.
To be brief, I my debt situation is as follows:
$35,000 in unsecured debt (6 credit cards)
$371,000 in secured debt (Home, car & RV)
I have a negative net worth, which is to say that I am completely upside down in everything I have. My household is currently 5 people (and 6 during the summer) and I am the sole provider. I live in the state of Washington.
In 2006, I divorced a marriage of 16 years. I took all the debt and responsibilities (including kids) and she took all the assets (which was a lot at the time) and she moved away. In exchange, she did not press for alimony/maintenance. I still got the better deal because I have my kids and they are worth more than an anything to me.
At present, I have no assets of any real value (some furniture and a few electronics, but nothing special). I have no jewelry, stocks, retirement or savings. I am currently living paycheck to paycheck and getting some assistance from extended family. Everything we have now was purchased after the divorce. I had to buy everything - beds, furniture, dishes, TV etc. because my ex took everything with her when she left. I bought a small house, combined two car loans into one new car and used credit cards to get everything else started. That started the debt spiral and brings me to my stage today.
Unlike many I have seen, however, I have a good job with decent income. This is why I am looking at Chapter 13 (I doubt I could qualify for 7 with even the most liberal trustee).
What I have done so far:
Credit counseling (Clearpoint) - The woman who assisted me was very friendly, helpful and spent over two hours trying to come up with a workable budget for me. At the end of the consultation, she told me there was no way I was going to make it unless I let something go (foreclosure, short sale, surrender vehicles etc.). It was a good experience for me because it opened my eyes to reality and forced me to consider something I just couldn't stomach before: bankruptcy. She advised me to seek legal counsel, which is where I am at today.
I have gone to one consultation with a local BK attorney. He basically confirmed what I believed to be the case: No way in hell I'm getting a Chapter 7. I make too much money to qualify, even for a household of 5. He wants approximately $500 to get started and the rest would come out of the trustee payments. I have mixed feelings about this consult, and the jury is still out. I am now in the process of scheduling some more consults.
If you are looking for my question in this post, you won't find it. I have so many questions I don't know where to start, but many of them are being answered by using the "search" feature and reading responses already posted. Eventually, I will post more (questions and my experience as I go), but for now I just wanted to join the folks here and do a little intro. Now I will step off of my pity pot and get to work.
Thanks!
First of all, let me commend the forum owner on a fabulous resource. It has been a wealth of information and I intend to visit here quite often as I begin this path to a new life. I also want to say thanks to all the people who post their wonderful words of experience.
My situation is unique, as are the stories of many of you. I don't think it is necessarily as complex, nor as hopeless as many that I have seen. Nevertheless, it is still frustrating and depressing and I hope to get strength from resources like this as I step through this process.
To be brief, I my debt situation is as follows:
$35,000 in unsecured debt (6 credit cards)
$371,000 in secured debt (Home, car & RV)
I have a negative net worth, which is to say that I am completely upside down in everything I have. My household is currently 5 people (and 6 during the summer) and I am the sole provider. I live in the state of Washington.
In 2006, I divorced a marriage of 16 years. I took all the debt and responsibilities (including kids) and she took all the assets (which was a lot at the time) and she moved away. In exchange, she did not press for alimony/maintenance. I still got the better deal because I have my kids and they are worth more than an anything to me.
At present, I have no assets of any real value (some furniture and a few electronics, but nothing special). I have no jewelry, stocks, retirement or savings. I am currently living paycheck to paycheck and getting some assistance from extended family. Everything we have now was purchased after the divorce. I had to buy everything - beds, furniture, dishes, TV etc. because my ex took everything with her when she left. I bought a small house, combined two car loans into one new car and used credit cards to get everything else started. That started the debt spiral and brings me to my stage today.
Unlike many I have seen, however, I have a good job with decent income. This is why I am looking at Chapter 13 (I doubt I could qualify for 7 with even the most liberal trustee).
What I have done so far:
Credit counseling (Clearpoint) - The woman who assisted me was very friendly, helpful and spent over two hours trying to come up with a workable budget for me. At the end of the consultation, she told me there was no way I was going to make it unless I let something go (foreclosure, short sale, surrender vehicles etc.). It was a good experience for me because it opened my eyes to reality and forced me to consider something I just couldn't stomach before: bankruptcy. She advised me to seek legal counsel, which is where I am at today.
I have gone to one consultation with a local BK attorney. He basically confirmed what I believed to be the case: No way in hell I'm getting a Chapter 7. I make too much money to qualify, even for a household of 5. He wants approximately $500 to get started and the rest would come out of the trustee payments. I have mixed feelings about this consult, and the jury is still out. I am now in the process of scheduling some more consults.
If you are looking for my question in this post, you won't find it. I have so many questions I don't know where to start, but many of them are being answered by using the "search" feature and reading responses already posted. Eventually, I will post more (questions and my experience as I go), but for now I just wanted to join the folks here and do a little intro. Now I will step off of my pity pot and get to work.
Thanks!
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