Here is my predicament:
1. Wife and I owe $220k in cc debt.
2. We are current in all loans (no missed payments in the past 12 years).
3. Minimum payment is $4500/month and we are tired of them as we spend most of our salary on the payments and our mortgage.
4. I will file for bk 13 as we cannot file for ch. 7.
5. Our salary is $145k combined.
6. Car#1 is an 2005 Acura MDX. We have 3 months left and it will be paid off. Payment is $775/month and it has 73k miles.
7. Car#2 is a 2010 Accord which was leased 4 months ago. I have 32 payments left.
8. Attorney suggested that we file for bk before the MDX is paid off as we can use that payment as part of our expenses.
9. Another option is to buy a new car and give up the leased car. That way I would own the car after 5 years and I wouldn't have to look for a car after the leased car was turned in.
10. What about selling the MDX and buying 2 new cars? That way we could take advantage of the full $489 expense credit x 2 which would lower our payments to the unsecured debt. If I sell the MDX, would I have to part with any of the money for our BK 13 filing?
Which option would you go with? Thanks.
1. Wife and I owe $220k in cc debt.
2. We are current in all loans (no missed payments in the past 12 years).
3. Minimum payment is $4500/month and we are tired of them as we spend most of our salary on the payments and our mortgage.
4. I will file for bk 13 as we cannot file for ch. 7.
5. Our salary is $145k combined.
6. Car#1 is an 2005 Acura MDX. We have 3 months left and it will be paid off. Payment is $775/month and it has 73k miles.
7. Car#2 is a 2010 Accord which was leased 4 months ago. I have 32 payments left.
8. Attorney suggested that we file for bk before the MDX is paid off as we can use that payment as part of our expenses.
9. Another option is to buy a new car and give up the leased car. That way I would own the car after 5 years and I wouldn't have to look for a car after the leased car was turned in.
10. What about selling the MDX and buying 2 new cars? That way we could take advantage of the full $489 expense credit x 2 which would lower our payments to the unsecured debt. If I sell the MDX, would I have to part with any of the money for our BK 13 filing?
Which option would you go with? Thanks.
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