New confused and scared, Chapter 7 I think

[jb300]

Hi,

After months of research and weighing options I decided to see a BK attroney for a consult. I saw him this last Monday.

I am self employed with a fairly new business of less than 2years. This is a sole proprietership. My net income is going to be around 12-14000 and taxable I think around 5. I live in IA.

When my BF and I saw this attroney on Monday he never gave me an indication of what Chapter he was thinking. His fee was going to be 1250. I think he is talking 7 though.

I have about 40-50000 in CC debt. I am on a loan with BF on a Harley, he said that would be safe. He also said my truck, older camper I am sleeping in and a trailer would be safe.

I am also buying a house on contract with the BF. I forgot to tell the attroney that. He had said since I got the house after I had the cc debt that some of the equity in the house could be at play for the trustee. But since I just got the house last June and it is bearly livable and if we had kids it wouldn't be livable, there won't be any equity with what is still owed on this.
I still also wonder since his name is on the contract if that will be treated like the harley.

Here are my questions. Can the trustee turn down the case and not allow it?

I can't afford to pay out this money and then have it turned down. When do I find out what chapter I am filing?

I just need a better understanding of what I am about to get into to.

Thanks

[JRScott]

You might try calling the same lawyers office and mention that you forgot to mention the house and to ask what chapter he thinks you'd be.

Also good would be to set up additional appointments. This is a big event. I'd see 3-4 lawyers before determining which to go with.

Trustees can only dismiss cases within the realm of the law. Usually for improper filing and sometimes for fraud. He might could force you into a chapter 13 but your income is so low I don't see how he could do that.

[jb300]

How can I do chapter 13 when I can't tell you how much income I am going to make. I have a good sized job coming up in April/May that is going to pay decent money BUT I have to save some of that to cover times when I don't work.

What can they do with that?

[keepmine]

What did your lawyer say when you told him about the large income you expect to have shortly? Will it put you over the median for your state? What sort of disposable income will you have?
You may have to plan your filing for when you've spent down any income that can't be exempted.

I like JR's suggestion to see som more lawyers and give them the fullpicture. Don't impart information piecemeal.

[TEW]

Well to answer your question about the trustee is NO the trustee looks for assets he cna sell to pay your creditors. He does not figure out if you have a case or not.
chapter 13 is a repayment plan chapter 7 wipes out all dischargable debt. The fee your lawyer sounds like a 7 a 13 is more expensive.
sounds like a chapter 7 the lawyer also talked about assets being safe.

[AngelinaCatHub]

How can I do chapter 13 when I can't tell you how much income I am going to make. I have a good sized job coming up in April/May that is going to pay decent money BUT I have to save some of that to cover times when I don't work.

What can they do with that?

[jb300]

The deal with the camper is we have to sleep in it because our house is so rundown that we haven't gotten a bedroom finished yet in it. we have slept in the camper all winter.

I don't even have a kitchen cupboard or sink in here yet. I just got a bathtub a few months ago and do dishes in dishpans or the bath tub.

I am in the flooring business and I have a years worth of income and expenses that I can justify everything I say. We really got hit when the fuel prices went up so much. I was having to spend anywhere from 250-400 a week in fuel.

I have to get my taxes finished up this weekend and then I will start on the packet from the BK attroney. He came recommended to me and was nice when we were in there. I think I am still shocked that I am here.

Just a few years ago I had a credit score of over 800 and right now when I tried to get a bank account a few weeks ago couldn't get one because my score is down to 508.