All,
I've done a considerable amount of financial damage over the past several years due to gambling and although I am now free of the Casino, I have a ton of debt. I'm very concerned as I have two kids (a son who is 7 and a daughter who is almost one) and will not be able to save up any money for them for college due to all the bills I have to pay.
Here's my situation:
-I make 120K a year, wife doesn't work, so that's my total income.
-I have two mortgages on the home that I live in totaling 470K, my house is worth 460K according to Zillow.
-I am a co-borrower on a second home which my parents live in. That mortgage is 170K. The home is not worth what we owe.
-I have several credit cards with debts totaling 60K.
-I have an SBA Business Loan of another 68K for a business that no longer exists. ( I took this one out for my brother in law to help him start the business. I found out that it is now considered unsecured debt since the business doesn't exist anymore.
- I have one car which I own 2004 Lexus Rx-330 worth maybe 20K
- I have three other cars which are on my name, two of them are for family members, they pay the notes on them. The other one is mine, which is a Lexus IS-250. I got it around 2 months ago.
Well..My father who lives in the second home recently lost his job and it's looking like I will have to end up paying the mortgage on my parents house.
I make about 7K a month after taxes but if I added up my parents mortgage along with some other expenses. I would not be able to afford everything.
I went to see a couple of lawyers. The first one told me that I had to let my parents house go and that it cannot be considered during the bankruptcy repayment plan. She also said that I would end up paying about 60 cents on the dollar to my other unsecured debts for 5 years.
The second lawyer told me that the second home can be considered as I am taking care of my older parents. He told me he could try to get me into a 10 cent on the dollar repayment plan.
Which one is more accurate?
Also, it appears as though from what I can find online..that it is very hard to negotiate on the 2nd mortgage or HELOC. Is it possible to lower the balance owed on my HELOC during the bankruptcy. The two lawyers didn't mention anything about that.
What should I do short of selling everything and moving to Canada.
I've done a considerable amount of financial damage over the past several years due to gambling and although I am now free of the Casino, I have a ton of debt. I'm very concerned as I have two kids (a son who is 7 and a daughter who is almost one) and will not be able to save up any money for them for college due to all the bills I have to pay.
Here's my situation:
-I make 120K a year, wife doesn't work, so that's my total income.
-I have two mortgages on the home that I live in totaling 470K, my house is worth 460K according to Zillow.
-I am a co-borrower on a second home which my parents live in. That mortgage is 170K. The home is not worth what we owe.
-I have several credit cards with debts totaling 60K.
-I have an SBA Business Loan of another 68K for a business that no longer exists. ( I took this one out for my brother in law to help him start the business. I found out that it is now considered unsecured debt since the business doesn't exist anymore.
- I have one car which I own 2004 Lexus Rx-330 worth maybe 20K
- I have three other cars which are on my name, two of them are for family members, they pay the notes on them. The other one is mine, which is a Lexus IS-250. I got it around 2 months ago.
Well..My father who lives in the second home recently lost his job and it's looking like I will have to end up paying the mortgage on my parents house.
I make about 7K a month after taxes but if I added up my parents mortgage along with some other expenses. I would not be able to afford everything.
I went to see a couple of lawyers. The first one told me that I had to let my parents house go and that it cannot be considered during the bankruptcy repayment plan. She also said that I would end up paying about 60 cents on the dollar to my other unsecured debts for 5 years.
The second lawyer told me that the second home can be considered as I am taking care of my older parents. He told me he could try to get me into a 10 cent on the dollar repayment plan.
Which one is more accurate?
Also, it appears as though from what I can find online..that it is very hard to negotiate on the 2nd mortgage or HELOC. Is it possible to lower the balance owed on my HELOC during the bankruptcy. The two lawyers didn't mention anything about that.
What should I do short of selling everything and moving to Canada.
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