Opinion please on when to file

[gymbofreak]

So I have been tossing this idea back and forth for awhile, since then I have continued to rack up debt on credit cards. Within the last month I have spent about 3k on them. Only one thing was 700(airline ticket) and I have no problems paying it back. Everything else was clothes, toys, utlities, food, etc. Victoria secrets was a few hundred..bras and the such..Nothing I consider a luxery items. No cash advances or anything.

I have consulted with an attorney and he doesnt seem overly concerned but I am. I relaly dont want any issues and would wait if needed too, but he saysgo ahead and file. I know Im gonna lose my taxes as well which stink as its pretty high IMO of about $3500.

My total debt is only about 30k, 8 k being a gmac lease..any ideas anyone..Im so lost and stressed over this

[ameliabedilia]

I would certainly wait- $3k in one month is alot- even if the lawyers says don't worry. Most people here make the decision, quit paying cards and live on cash only for at least 2-3 months, most more. I found it really helped to see where your money goes. I did not realize how dependent on cards I was and how not having them made me think things over carefully before I bought things.

People will be able to help you alot more if you give us more details- take home pay, expenses, assets etc... Also let people know what state.

[gymbofreak]

Ok thank you.. I certainly can live on my income without having to pay debts. Im currently bringing homeabut 1100 every two weeks. I have no assets at all. Im single with two children,I have cut up the cards and am not using them anymore as of today. I suppose I should talk to some more attornies and get different opionions..thanks for responding

[SinkingFast]

Yep! Talk to more attnys and get more opinions.

That attny saying "Don't Worry, Be Happy, File Now!" is a bit scarey. Especially on $3K in charges in the last month.

We're a family of 6 and I was juggling $750-$1K every month around between cards at the end. That's groceries, gasoline, and other necessities. No where near $3K. No airline tickets. No Victoria's Secret purchases.

While you don't think Victoria's Secret is a luxury, I can assure you it could be in the eyes of a BK Trustee. $40 for a VS bra vs $10 at Wal-Mart?? $12 for a 3 pack of panties at Wal-Mart vs $12/panty at VS. Get the picture?? BK is about necessities, not frills.

If you're paid up to date on your CC's, you might be able to make it 6 months or longer of no payments before anything serious were to happen. A Creditor threatening or actually suing you.

That would give you time to learn more about BK. Get used to living the Cash and Carry lifestyle. Shop around for THE attny you wanna work with. Get your fees paid, your pre BK Counseling done. File your income taxes, get your refund, and spend your return on necessities. Maybe pay your attny with a portion of that.

[CindyLou]

I second Sinkingfast's advice! You could put your tax return to good use...maybe go the the dentist or buy much needed eye glasses or make a Doctors visit. Maybe new tires for your car. Any necessity that you have neglected. I would not, I repeat, would not chance filing now. There is just not any good reason to do that. Time is your friend right now. Ever heard that saying, "Fools rush in..." Well it certainly applies to you right now. Take your time and get this in order.

One thing you may consider is to make sure you have a good checking account that is not tied with any of the banks that you will owe money to. That way you have a good safe account to use. Get ready to start letting your voicemail answer your calls or consider changing your number. The calls with start, but they won't do anything but call. Don't let it bother you a bit.

One question though. Are you sure that your income isn't going to go up and cause you to go over the median anytime soon? Any bonuses coming up? Be sure you aren't planning on cashing out any retirement, etc.

Bottom line. Plan Plan Plan. This is not the time to be hasty. Good luck and keep us posted.
Cindy

[gymbofreak]

Thanks everyone oh so much, I went ahead and made a minimum payment on my V.S card, and the other card I used. Not sure if it will mean beans or not and will not touch any card again, as I have cute them up. I will seek out another attorney as I agree that it just doesnt seem kosher to me either. I for sure do not have any raises coming up soon, as Im due one but the powers that be are at an impasse.

Im sure they will come for my leased car soon, and I really dont want to have to have them sue me to get the car back, if they want it they can come get it. I have a different car that is work issued so it is not a huge deal. This car rarely driven is costing me 505 a month in car payment alone.
October is the first month were cc payments werent lagging behind, and I have yet to get a call from them or a letter? I even have a bank loan and no contact at all? STrange. In the mean time I have changed my phone number, got a dfferent cell phone and number.
Seriously how long do you think I shoud wait before filing? I really dont mind paying the airline ticket or even some of the cc usage if I had too, I would prefer a clean slate.

Oh and thanks for all your help,,

[ssdsco]

Seriously how long do you think I should wait before filing?

At least 90 days from the last credit use.

You'll need to see what your BK exemptions will cover. Sounds like you have some cash in addition to the tax return. You should spend those on allowable living expenses before you file if they're not cover by exemptions.

Don't be in a rush. This will take some research and planning.

[SinkingFast]

SSD makes a good point. Depending on your Exemptions, you may be able to cover a chunk, if not all, of your anticipated income tax return.

What State will you be filing in?? How many in your family??

We can help you with more concrete info if we know a bit more.

[gymbofreak]

Hi sorry for the lack of info. Im a single parent of two. I live in florida, and will have at least a 3k return. Im not sure what you mean about exemptions...and Im not sure what I could do with the tax money that would be constructive. I dont own a house, I have one I rent but Im not sure if replacing the carpet would be allowed. I have insurance so visiting the doc or dentist would only be a small copay. I am going to lose my car and Im sure I couldnt purchase a cheap car with the taxes...could i?

SSD makes a good point. Depending on your Exemptions, you may be able to cover a chunk, if not all, of your anticipated income tax return.

What State will you be filing in?? How many in your family??

We can help you with more concrete info if we know a bit more.

[SinkingFast]

BK Law allows Debtor/Filers a small stake to begin their financial fresh start.

We don't have to be totally broke or have no property at all is what Exemptions are for.

Florida didn't offer much in Exemptions except for the Homestead Exemption. But, according to one FL BK attny's website, Florida has recently increased personal property from $1K to $4K if you aren't using the Homestead Exemption.

http://www.bkforum.com/showthread.ph...ida+exemptions

Hopefully, that's true.

Here's a link to a page detailing FL BK Exemptions:

http://www.bankruptcyinformation.com/FL_exemp.htm

This does not reflect the change that was supposed to occur.

Pretty much, you would probably want to get your income tax refund and spend it prior to filing BK.

[JollyGG]

Hi sorry for the lack of info. Im a single parent of two. I live in florida, and will have at least a 3k return. Im not sure what you mean about exemptions...and Im not sure what I could do with the tax money that would be constructive. I dont own a house, I have one I rent but Im not sure if replacing the carpet would be allowed. I have insurance so visiting the doc or dentist would only be a small copay. I am going to lose my car and Im sure I couldnt purchase a cheap car with the taxes...could i?

With 3k I deffinately could buy a cheep car. I bought one for 1800 last year. Check your state exemptions and try not to get anything worth more than you can exempt.

[ameliabedilia]

How negative are you every month? And what will your disposable income be when you take out the credit cards and car lease if you are planning on surrendering it?
Also, have you considered using your tax return to pay a chunk of your cc debt? $3000 is 10% of your total debt, and I am sure it would help with the monthly payment. You could also change your witholdings every month so you take home that money that you are now loaning the government interest free all year.

Also, I know repo looks bad on your credit report, but I think a bk looks alot worse! You could consider just getting rid of the car, or trying to find someone to take the lease over.

bk may be the best option, but it might not be, so I am just offering some suggestions.

[gymbofreak]

Yes 3k is just what has been acquired in the last month or so, I have about 30k or more, so 3 k wouldnt be that much shaved off kwim? Yes my car is expensive but it still is just half of the 500-700 i pay out monthly on cc minimums. I will need to research my exemptions and if i can buy a car with my taxes, I for sure will. Im still looking for another bk attonrey in my area and not much luck...I know there here..Im thinking I may get pushed into a chpater 13 becuase of the income I will have left after whatever is disposed off...

[seafresh]

So I have been tossing this idea back and forth for awhile, since then I have continued to rack up debt on credit cards. Within the last month I have spent about 3k on them. Only one thing was 700(airline ticket) and I have no problems paying it back. Everything else was clothes, toys, utlities, food, etc. Victoria secrets was a few hundred..bras and the such..Nothing I consider a luxery items. No cash advances or anything.

I have consulted with an attorney and he doesnt seem overly concerned but I am. I relaly dont want any issues and would wait if needed too, but he saysgo ahead and file. I know Im gonna lose my taxes as well which stink as its pretty high IMO of about $3500.

My total debt is only about 30k, 8 k being a gmac lease..any ideas anyone..Im so lost and stressed over this

have thought about setting up repayment schedule with creditors(like low interest rate) considering you have about $30K in debt. I was able to payback about $15K just over 1 1/2 yrs. But due to my business situation I had file right away before my biz creditors started to come after me with liens and judgements for late payments...
just a thought..... good luck

seafresh