Should we file NOW?

[twinsplus14me]

We were planning on filing BK7 within the next week or two with some of our tax refund. Now, I'm wondering if we should wait a bit. Please give me your advice.

We are expecting a large refund from the IRS, but charts I've found for OR say it's exempt because it's EIC.

My husband is unemployed and has been for 4 months. He's found a part time job, but hasn't started it yet due to the fact that his unemployment is better and we are hoping to collect the rest of that. I can not work due to health problems.

Our car is 90 days past due as of yesterday. I expect it to be repo'd soon. How does that work? Has anyone been thru it? PLEASE tell me what to expect. What's the best way to handle it?

If we should wait to file, how long?

We have about 25K in medical and 3K in business debt. Then there's the car which is 19K.

[JRScott]

I wish I knew what to tell you. As far as the repo the guy could come get it at any time. It is likely they'll come late at night or early morning. Just don't leave any personal belongings in the car. He may or may not come to the door and ask for the keys. If the repo man comes just go ahead and give it to him.

It might be worth it to schedule a few appointments with BK attorneys in your area to see what they think about your situation.

You'll get through it though

[PaKettle]

Though I can't really tell from what you've said, it sounds like you are probably going to be good to go for a Chapter 7. The thing to do is schedule free consultations with 2-4 attorneys and ask them how you stand, how much they charge, when they can file for you, etc. Do not be afraid to tell them exactly what you have told us. They are - or should be - on your side.

The only thing I can think is that filing against only $25k is a small amount to file against. But if you cannot pay it and dont' want to wait it out until you can perhaps get better employment and pay them off, then go ahead and file. Or at least discuss it with the attorneys.

The question is, how are you going to live AFTER bankruptcy, with no credit and only a part time job? You don't have to answer that here - but that is what I would be concerned with... Sounds like a priority should be to get a good full time job.

[twinsplus14me]

We are both looking for work.

My husband had a very good job for 5 years and lost it due to lack of work. He and I are both looking for jobs now.

With the car debt, we are almost at 45K and can't see any way to pay it off. Creditors have garnished his paycheck for the last year and made it impossible for us to meet all of our expenses. We can't see any other way out.

[PaKettle]

My husband had a very good job for 5 years and lost it due to lack of work. He and I are both looking for jobs now.

With the car debt, we are almost at 45K and can't see any way to pay it off. Creditors have garnished his paycheck for the last year and made it impossible for us to meet all of our expenses. We can't see any other way out.

Sounds tough.
Good luck to you!
I'd talk to at least 3 attorneys before filing, just to make sure you get clear and correct info and choose the one you like best. Try to get someone who is communicative - attorneys who use email seem to be the most communicative these days, but of course that can vary.

[JRScott]

As Pa says start with some free consults with attorneys in your area. Lay out the situation and see what they think.

Good Luck