top Ad Widget

Collapse

Announcement

Collapse
No announcement yet.

Newbie Questions - How long does it take really?

Collapse
X
Collapse
 
  • Page of 1
  • Filter
  • Time
  • Show
Clear All
new posts
Previous template Next
    #1

    Newbie Questions - How long does it take really?

    Hi all,

    My husband and I have several consultation meetings next week with attorneys to discuss our bankruptcy options. We're definitely looking into a 13 as we have a few assets we want to keep and just get caught up on. I have a few initial questions that I'm dying to get answered, so I'm hoping some of you can help.

    1. One attorney told me during the intake call that it would take 4-6 weeks to file with the courts. Does it really take this long? What exactly takes so long?

    2. Once you retain an attorney and start the process, do you really have to wait until you file to get the protection that comes with bankruptcy? (What happens if you get garnishments or a foreclosure notice before you're reading to file?)

    3. In January I will receive an automatic payout of some stock options received through my company - currently estimated at $6,000 after taxes. Before considering bankruptcy, I had planned on using that money to help pay for daycare for my baby that is due in August. Once I file, what are my options for these proceeds? Would we be required to use all of the money to pay into the plan? Any chance it would be exempt if I have it deposited into my savings account?

    Thanks in advance!
    Last edited by ylime; 06-12-2010, 02:33 PM.
    Filing 7/30/10, 60 month plan, 0% to unsecured creditors
    Tags: None
    #2
    Regarding the $6000: Since you know it's coming, and if you have the exemptions available to you, then you can have your attorney exempt it on your petition.

    If you don't have the exemption available to you, you just have to make sure that you pay at least $6000 towards your unsecured creditors in order to keep it.

    You'll probably want to wait to file at least until after the baby is born so that you can claim the larger household size and the higher expenses...
    Filed Chapter 13 on 2-28-10. 341 completed 4/14/10. Confirmed 5/14/10. Lien strip granted 2/2/11
    0% payback to unsecured creditors, 56 payments down, 4 to go....

    Comment

      #3
      Originally posted by momofthree View Post

      If you don't have the exemption available to you, you just have to make sure that you pay at least $6000 towards your unsecured creditors in order to keep it.

      Sorry to interrupt, but is that $6000.00 for each creditor? Like if ylime has 10 creditors, then they each need to be paid an additional $6000.00?
      Retained atty 3/2010. Filed Chapter 13 on 1/2013.

      Comment

        #4
        sheilaE, I have a question, for you. If you need to file sooner won't your atty, let you put the rest of the fee's in the Chapter 13? I'm new to this myself and I am just wondering. I put off filing for too long and now I am i big trouble.

        I hope you don't think I am out of line by asking!
        Last edited by jtallerie; 06-12-2010, 05:57 PM. Reason: typo

        Comment

          #5
          Originally posted by sheilaE View Post
          Sorry to interrupt, but is that $6000.00 for each creditor? Like if ylime has 10 creditors, then they each need to be paid an additional $6000.00?
          No--total. They simply must receive at least as much as they would if the pp filed ch.7 and that money was distributed between all the creditors.
          Filed Chapter 13 on 2-28-10. 341 completed 4/14/10. Confirmed 5/14/10. Lien strip granted 2/2/11
          0% payback to unsecured creditors, 56 payments down, 4 to go....

          Comment

            #6
            Thanks for the clarification momofthree.

            Hi Jtallerie,
            Not out of line at all-we're all here to help each other out
            Our atty never told us we could put his payment into the plan UNTIL just this past Friday. I called to ask some questions and it was then that he told me that we'd already put a good amount down and it we needed to file quickly, he would just put the rest into the plan. That eased some of my worries. I've read on here that most everyone is putting the fee's into their plans. I don't know why our wanted the bulk of it up front.
            Sheila
            Retained atty 3/2010. Filed Chapter 13 on 1/2013.

            Comment

              #7
              The reason that he might have wanted the bulk up front might be b/c, if you ever have to convert to a Chapter 7, you will just bk, the rest of the atty fee's & get another atty. This is just what I think. I don't know for sure. I bet one of the more experienced people on this forum would know the answer to that for sure.

              Comment

                #8
                I never thought of that----yes that might be why.
                Retained atty 3/2010. Filed Chapter 13 on 1/2013.

                Comment

                  #9
                  Anyone have any info on my questions 1 & 2?
                  Filing 7/30/10, 60 month plan, 0% to unsecured creditors

                  Comment

                    #10
                    As to number 1.
                    That is about average, especially for chapter 13's (to do them right). 6 weeks is a little long, but 3-4 weeks is reasonable.

                    As to number 2.
                    Yes, to actually stop a garnishment, a case must be FILED. However, some firms will allow you to refer creditors to them to decrease harassment. Neither a garnishment or a foreclosure can happen out of the blue. To be garnished, you must be sued, and the foreclosure process in CO takes 7-9 months.

                    As to number 3. If you file chapter 13, nothing happens so long as the total of your 60 months worth of payments is $6,000 or more.

                    Comment

                    Previous template Next

                    bottom Ad Widget

                    Collapse
                    Working...
                    X