Need to file CH 7 ASAP...

[oldbaddebts]

I have approx 45k in debts, no assets (to say the least) and my annual income is 37k. I drive a truck cross country and am not really a resident anywhere, but have an Indiana license. I will be transferring that to NV where I have family and some resemblense of a connection to society. It is going to take 2 to 3 months to get things in order as far as paperwork and money for an attorney before I file.

As far as expenses, I have next to none because I literally LIVE at work. Work IS my transportation, utilities, and housing. My concern is do I need to find an apartment to rent and establish utilites there and maybe buy a cheap car and insure it just to have an empty apartment and parked car to show expenses to go through the process? My goal in going through the process is to be able to afford to have a place to live and a car so I can somehow find a civilized life outside of a truck.

If you were to put everything I own in original retail boxes and at the most expensive stores, you MIGHT get $1200 for it, including clothes, electronics and bedding. Capital One just increased the urgency to file by attaching my bank account making life even more difficult, so I want to file ASAP, but if I need to secure bills for show before I file I can, but it will be a challenge without a bank account I can use.

Any suggestions GREATLY appreciated.

Nick

[jal1129]

Its looks to me like you should talk with a lawyer in whatever state you plan to file in. The median income for 1 person in IN is 37,552 and NV is 39,409. So you are very close.

Just out of curiousity if you make 37,000 and have no living expenses/car/assests etc why are'nt you able to pay your debts?

[DeadManCrawling]

I can't say for certain, but so much of the filing process mimics the IRS process-at least as far as procedure and numbers.

To that end, I imagine you would file wherever the heck you stop the truck long enough to file your taxes and collect your mail- or Indiana, which gave you your license.

Glad we have people like you, willing to put in horrendous hours on the road, so that we can pick up a slab of midwestern ribs at our local shopping center!



-dmc

[oldbaddebts]

I am in this position because of a gambling problem. I take full blame for my actions. I got into this profession as a "quick fix" to clean up my finances and see the country while I get life on track, and not having living expenses to pay, I got into gambling rather than paying debts. After doing this for almost 5 years and having nothing to show for it but 3 judgements and lots of debt, I tried working to get out of debt.

About 6 months ago I decided to give it one final "gazelle intense" try. I am leasing a semi, never been a day late on my weekly payments, and making the most money I am capable of making. I save every dollar I can.

I set aside $1000 for emergencies, then had to spend $7000 on truck repairs, went two months living on $200 a week in advance from the place I am contracted to, then actually paid off one of my $300 cards. Was waiting for then end of this month to have the funds to pay off the next one. Then Capital One attaches my bank account and cleans it out. The result, the $200 advance I can get from the carrier to live on if funds are tight have to go to pay insurance.

My statement of income of 37k is gross revenue after expenses that the go through the carrier. I spend another 9k in business expenses that I handle cheaper than they would, then with self employment and income taxes my true take home income is about 20k.

DeadMan, Thanks for realizing how important trucking is to our economy.

Sorry for Rambling. My question can really be one sentence.... "Does the bk process look at actual expenses or can the IRS allowances be taken without documenting actual expenses?"

Doing the means test I am well below the median income, and if you were to follow through income and expenses using only IRS allowances, I have $0 for
CH 13 repayment.

Thanks Again,
Nick

[twuoo]

Nick: You could go to the www.legalconsumers.com website and use the online calulator there. It'll let you know if you qualify for the ch7 or 13.

I hope that you have the gambling bug out of your system.

I think without truckers and train, the economy would come to a screaching halt in a hurry!

Keep on truckin

Best of luck to you. Don't be too overly offended when folks here ask for more info about you. We're just trying to get a better idea of your background in order to give you better answers.

[jal1129]

Yes OBD, try not to get offended by us asking questions. We can't help you if we don't know the real picture. By your second post we can realize there was a lot left out of your first post that does in fact change the picture.

I know all about truck driving. My first husband was an OTR O/O who came from a trucking family, all of his friends were drivers and he knew more about truck driving then anyone I have ever met. After 13 years of us living that lifestyle together ( so yes I have spent more than 6 years living in a truck) he was killed in a truck accident. I have now been married to my second husband for 17 years and he is also an OTR driver, home typically 36 hours once every 30 days.

I was asking the question to get a better picture of where you are because I understand trucking as I have spent the last 30 years of my life living it.

[oldbaddebts]

I do apologize for my posts, they seem to be rather long winded and defensive. I have been 4 months without gambling at all and can really see the difference in finances, but I keep getting run over by life.

Jal, if you are familiar with trucking, I am in a Lease-Purchase deal. That single statement might show you that I have weeks that I work 80 hours to OWE 2k, then work another couple weeks to get out of the whole and get another check.

Legalconsumers.com is where I did the means test, as well as verified it on the Uscourts forms to verify accuracy of the forms. I very clearly qualify for a CH 7, and honestly it isn't a matter of not wanting to pay my debts, I believe that some suffering and forced budgeting of a 13 would simply be a more controlled method of resolving the consequences of my behaviors.

[JRScott]

Were your bank accounts also opened in Indiana?

Do you maintain a Post Office box in any state?

Do you have receipts for your fuel, food, etc? I ask because of your situation it is clear that you most likely will show higher fuel/food costs than most persons, but with receipts you can easily show that it is what it costs you.

Try to speak to a lawyer in either Indiana or the state of your mailing address and see what they think. If your bank account was opened in a different state you might look into one there as well.

I started on the path to bankruptcy because of a summons I was served with. So far nothing has come of the summons and the lawyer says he'll just include that case with the bk to ensure it is removed.

As for food, which seems to be the most immediate concern, you might see if a church group in an area where you are passing by might be able to assist you. I know your transient but that doesn't mean they won't assist you. You could try The Church of Jesus Christ of Latter Day Saints or the Catholic Church. Both typically in most major cities have food stores and are willing to help the needy. You could probably find a listing for them locally and call to ask for how to get help. I know it is hard to ask for help sometimes but sometimes we need it.

[oldbaddebts]

Thx for the advice, fortunately I am not hurting for food. The carrier I am with has no problem advancing funds for a $1 fee for business expenses and food, hotels when truck is in repairs and such. They are the ones providing my revenue and as long as I remain reliable in my services they do all they can to keep me from driving for someone else.

As far as receipts, everything I do is a tax deduction, so I have receipts for everything except for food. The IRS gives truck drivers a larger deduction and we don't have to keep receipts to get it, just keep logbooks to prove our location and Hours of Service requirements. I spend about $6500 a month on fuel, you better believe I have receipts.

To update, I emailed NV DMV and they informed me that I can reestablish residency by transferring my license with just my families address even though I am not actually there on a regular basis. So step one will be done in the coming weeks. Then I can file after 91 days, but exemptions would be tricky, but I have nothing to exempt, so I am not concerned on that.

Again, thx for the help. I have read a lot on the forum while waiting for a load and the people here are very supportive. Great job to the mods!!