Some questions

[SinkingFast]

If you have been current on payments up till now. I would suggest -

1. Stop payments to CCs

2. Find a lawyer you are completely comforatable with (you have time to visit with a number.)

3. Pay your lawyer.

4. Wait, Wait, Wait, Wait, Wait, and Wait some more.

5. Once someone seeks a judgement only then file.

Put as much time between that last cash advance and filing as possible. You probably have six months to a year before judgements are persued. That gives you plenty of time to put that last cash advance as far in the past as possible.

This is the best pearl of wisdom in this whole thread.

Get prepared.

Find an attny you're comfortable working with. Get your attny's fee and your filing fee paid. Gather your docs and get those submitted. Update as needed while you wait. Then you're ready to go on moment's notice if anything should happen.

While you wait,........... Be responsible. Don't use CC's or take on new debt. Get used to living a "Cash and Carry" lifestyle within your current income means.

Manglicmot,............

Since you're current on your payments up until now,............... You might just want to wait a while before you file. If you can put several more months between filing and that cash advance, it could mean the difference between paying it back and having it discharged.

[happycarl]

I have a $4000 cash advance from November. When I told the paralegal about it during my initial consutation, she was looking at her computer. She threw her pen down on her desk and jerked her head in my direction with a pained look on her face. She said that I may have to pay some or all of it back even though it is outside the period of presumption. When I go in with my paperwork next week to prepare my filing I am going to draw up a paper that shows my payments on that account which are current and above the minimum required. At the time I took the cash advance I had decided I was not going to file BK even though I knew I was in trouble. However, the hours at work kept dropping and my plans did not work out. BTW, the payment on that account was due yesterday. For the first time in years, I am late on a CC payment.

I think you can COUNT ON an OBJECTION TO DISCHARGE being filed with that credit card company, PLAN ON IT.

From November to March you decided you needed to file bankruptcy? You had better be able to show a SIGNIFICANT AND UNFORESEEABLE SHIFT in your financial circumstances happened during that short period of time.

[SamanthaJones]

Next week to file? You are no where near ready for that.

I think if you do that you'll regret it- you have issues that you have no idea which direction to even think about taking....Don't do it. Slow down, take a deep breath....seek out options.

[manglicmot]

I count on the objection, but I believe I will prevail based on my payments to the creditor, the drop in my income and the 70/90 period of presumption. If I am in fact required to pay, I will do so, I have no intention of scamming the creditor.

I think you can COUNT ON an OBJECTION TO DISCHARGE being filed with that credit card company, PLAN ON IT.

From November to March you decided you needed to file bankruptcy? You had better be able to show a SIGNIFICANT AND UNFORESEEABLE SHIFT in your financial circumstances happened during that short period of time.

[havetodecide]

manglicmot - Unfortunately I will stop paying that card also (cash advance one) since i am still trying to come up with money for my next rent, things are really tight right now.

happycarl - Cards that i have right now are BOA/CITI/CHASE and my cash advances came from MBNA (under BOA). I don't think at this point i care as much about my credit rating but it is just the lawsuit issue, but as you and others have explained it will probably take a while, i am not feeling as tense as before, i thank you guys for that. I also don't see any other way, i will have to wait more before filing and stay away from cards and blank checks.

Thank you


SinkingFast - I am still undecided with the car, there is now issues with the AC not working and brakes feels bad, i will have to get an estimate and probably fix just the brakes. I have to keep the car in mind since it is the only asset that can be taken from me, sell it or not and what to do with the money. I am grateful i found this place so i can gather more info, if it was up to the lawyer, i would be filling next month.

I am already cashing any checks i get from my freelance work, not depositing them anymore, and as they say "when it rains, it pours", i just filled my taxes and i will have to pay back $1100 and also IRS wants upfront payment on how much i will be making in 2007, that was new to me!

Thank you everyone for the support and making me feel more at ease with the situation

[treehugger1]

I would count on being sued down the road, could be months, or it could be years. However, even if you are sued, I would think the most to come out of it would be a judgment. Once the creditor/CA has the judgment, then they can move to place a lien on homes or vehicles. Or, if you have wages, they can file a writ for wage garnishment. They can also move on any bank accounts you have. With all that being said, you will first receive notice (served) in person or by mail, depending on your local laws, of a pending lawsuit. In some states, you are given an opportunity to "answer" any civil summons. This gives you another 10 - 20 days. This is the time to call your creditor or CA and see what they might work out with you. Chances are you will wind up with a judgment on your credit report, but hey, your credit is shot anyway. I just received a summons last month and called the creditor and they agreed to stop further proceedings if I could pay them their $950 over four months. I agreed to try. The important word here was "try." I paid them the first payment, and so far have not received a writ of garnishment. The point is that with this creditor, who is local, and I defaulted with in September, I've still managed to get into late April. I would assume that much of the same type of negotiations can be done with national class creditors/collectors, just at a slower pace. As the post said, "wait, wait, wait." Your credit is shot anyway. The downside is you could end up with judgments that will need to be cleared up after BK.

Something else I have done is pulled all my credit reports the beginning of each month. EXP and TU show about $160K in debt with about $150K in unsecured. I see one collections account and a partial payment plan with CITI. The remaining creditors (about 25) all show never late going back years. Some of these should show 30-60 days late, but for some mysterious reason, they don't. They show monthly payments totaling approximately $3600.00. It doesn't take a wizard to figure out that 1) I bring home $6 - $7k per month (I don't anymore) or 2) I am way overextended (Yep). Tack on my IRS allowable living standards, rent, etc. and any fool can see there has to be a "judgment" day coming. I have no, nada, none assets. I have taken to honesty with my creditors that I expect my income to be approximately $4200
starting the first of May. As a result, many are trying to work with me on a significantly reduced basis. Some simply don't call back. I'm assuming they see the $3600 in debt payments, hear a take-home of $4200 and shake their heads.

The toughest part is that I, too, had to wait for my CC's, etc to get about 60 days behind to get anyone to even talk to me. That first "simply stop paying them" step was, indeed, the hardest. I had never in my life been even close to 30 days late. It was a humbling experience. As a past college professor and friend said to me, "A lesson in humility now and again is good for the soul." In addition, not being able to pay your debt is near the very bottom of the list of what can befall us in our lives.