goin' crazy

[worriedbk7]

Okay guys..I need some help. My husband and I are filing in July. We are surrendering our house in chpt 7. The plan is to go live with my mother after the 341 meeting. Our attorney said that we can put down our current rent on the schedule J. Should I pay my mother for rent? Can I do that? Also, I called the lawyer and asked if we can have additional withholding on our W4s so that our paycheck does not look so high. He said yes. Does this sound right. I am so confused and it seems like the preparation for this is very complicated. Am I just overreacting.

[Minnymouth]

Best advise I can give you is DON'T TRY TO HIDE INCOME from Trustee. He will check for any and all changes in lifestyle and income.
Also Trustee has access to any Tax Refund you might get so why bother trying to hide money by increasing your withholdings. Your lawyer knows this!! DUH
A friend of a friend of mine is now facing "fraud charges"by trying to hide land she owns. STUPID! Now she can due time in pen - at least 18 months or more.
Due your bankruptcy - be honest about it, you will come out ahead in the long run.
Yes pay rent to your mom - you don't want any Excess income available where they can put you in Chapter 13 instead of Chapter 7. Make sure you have receipts.
Good Luck

[worriedbk7]

I don't mind if the trustee takes my refund. I am more concerned with qualifying for the chapter 7. The lawyer said I can withhold $50 per paycheck so that my income goes down. I am close to being pushed into a 13. What would I put on my schedule J if I am still living in my house that is being surrendered. The house won't be sold until way after my 341.

[EdytaHome]

I also surrendered my house during BK. What you want to put on the scheduale is your current house mortgage amount NOT your future rent amount. You are filing BK because you can't afford your house (assuming that's why you are giving it up) and yes, by all means live there until right before the forclosure. Why not, this will allow you to save some money and get ahead. Don't worry too much, you need to show the trustee that your current financial status is what is bringing you into BK not your future living arrangement.
Good luck. We ended up selling our house through short sale, you may consider that as an option... Just find a real estate agent willing to work with you, they know how to handle that. Selling is so much better than forclosure on your credit report.

[worriedbk7]

Thanks Edytahome! Your words do comfort me in this time! With my current mortgage, I will definitely qualify for ch7. I was worried because I am obviously going to get a cheaper place to live. Has anyone had any experiences with creditors objecting? I have aquired quite a large amount of debt due to my own stupidity (gambling). I haven't used the cards since January. I am worried. I just can't take this waiting thing! I am the most impatient person who likes to always have a PLAN. And it sucks that this whole thing is a waiting game. Any advice and shared experience is appreciated. ANything is better than what I am in now!!!!

[missy2]

I can't believe this. I surrendered my car. And afterwards, I STUMBLED ON a part-time job - making money under the table Its GREAT MONEY too - $700 a month. But its hard work and not dependable. The person writes me checks and I've been giving the checks to a friend - STASHING CASH!!!

IS THIS GOING TO BOOT ME IN THE BUTT?

[mark]

Undertable checks?

I would not accept undertable checks. If the checks are made out to you the check writer will probably end up sending a 1099 to irs and you will be screwed.

[Minnymouth]

Those checks might not boot you in the booty - but they sure get you time in the "house" for fraud!!! Let Trustee find out about them......DUH

[missy2]

I'm a loser.

Even if I give them to someone else to cash? OMG. I'm so dumb Should I not be filing. This money isn't even guaranteed OH - I'm so dumb.

[worriedbk7]

Just relax and be upfront with your lawyer. He will know what to do. I understand the desire to hide a little for emergency or just to feel safe!! I have been working a little overtime so that I can save up some money. It is normal...believe me, I am just as scared as you are and I worry about EVERYTHING!! Wait about 3 or 4 months before you file. YOu should be fine

[missy2]

Not overtime -MONEY UNDER THE TABLE-! CRAP - MAYBE I SHOULDN'T BE FILING.

[worriedbk7]

Just stop accepting the money "under the table" and then file in 3 or 4 months. There may not be a whole lot of options in 5 more months. Good luck to you

[missy2]

ha - you are right. I sent the money back - told the person it was okay not to worry about it!