341 questions

[deadbroke99]

My neighbor filed last year and said the 341 was brutal. The trustee asked them why they bought a house they couldn't afford. Asked them what they charged on the credit card. Is this normal?

They are a family of five on one income and only had $20,000 in cc charges.

I am a family of four with two incomes over median with $65,000 unsecured debt. I am so nervous what they are going to do to me on the stand!

[AngelinaCat]

My neighbor filed last year and said the 341 was brutal. The trustee asked them why they bought a house they couldn't afford. Asked them what they charged on the credit card. Is this normal?

They are a family of five on one income and only had $20,000 in cc charges.

I am a family of four with two incomes over median with $65,000 unsecured debt. I am so nervous what they are going to do to me on the stand!

Hi deadbroke: Without more details as to the price of the house the neighbors bought, i.e. income, etc., I cannot offer an opinion there.

I will say that the above scenario is rare. However, each district has a pool of trustees, that range from 'mean ogres' to 'angelic powder puffs'. {My words--I doubt any trustee would describe him or herself in either of those terms. Most fall somewhere in between.

Anyway, the trustee is assigned to your case by the 'luck of the draw'. Neither you or your lawyer has any power over that. Though you lawyer, if you have one, can tell you if you have a 'good' one or not.

In our case, the lawyer told us that we had a 'good one'. This turned out to be so. We had so many errors and omissions--some of it thanks to the incompetent attorney, who prepped us not [we didn't start being educated about BK until we found this forum in April 2008]--that we SHOULD have been dismissed. But we weren't. Our trustee worked with us, and although it was painful at the time, it was far LESS painful than it could have been.

I hope you have good fortune in your situation.

My Best~~

[deadbroke99]

Hi deadbroke: Without more details as to the price of the house the neighbors bought, i.e. income, etc., I cannot offer an opinion there.

I will say that the above scenario is rare. However, each district has a pool of trustees, that range from 'mean ogres' to 'angelic powder puffs'. {My words--I doubt any trustee would describe him or herself in either of those terms. Most fall somewhere in between.

Anyway, the trustee is assigned to your case by the 'luck of the draw'. Neither you or your lawyer has any power over that. Though you lawyer, if you have one, can tell you if you have a 'good' one or not.

In our case, the lawyer told us that we had a 'good one'. This turned out to be so. We had so many errors and omissions--some of it thanks to the incompetent attorney, who prepped us not [we didn't start being educated about BK until we found this forum in April 2008]--that we SHOULD have been dismissed. But we weren't. Our trustee worked with us, and although it was painful at the time, it was far LESS painful than it could have been.

I hope you have good fortune in your situation.

My Best~~

Thanks for the info....

The house price was 189,000 in South Carolina...which is not extremely high for a brand new house in a nice subdivision.

[liz417]

My neighbor filed last year and said the 341 was brutal. The trustee asked them why they bought a house they couldn't afford. Asked them what they charged on the credit card. Is this normal?

They are a family of five on one income and only had $20,000 in cc charges.

I am a family of four with two incomes over median with $65,000 unsecured debt. I am so nervous what they are going to do to me on the stand!

Hi there, I think you need to step back and realize every case/trustee is different and you might be a "slam dunk" kinda case. You really don't know all the circumstances to your friend's BK case. Like AC stated every district has a pool of trustees and you can't worry your self to death about your pending 341. Be honest, hide nothing and answer the Trustee's questions without elaborating too much. You'll be fine.

Also, I wanted to let you know there is no "stand" to take. It's usually a room full of people with a Trustee at the front table...don't worry so much...

[deadbroke99]

Thanks! I just don't have much to show for the $65,000 cc debt and I am worried they are not going to believe that if they ask questions. We mostly lived on cc's. We paid the minimum's and then charged groceries, gas, clothing, car repairs, vacations, and yes some uneeded stuff too such as a trip to Vegas, Disney World, and new household items that we could have done without. I just don't know if they will believe that or not.

[deadbroke99]

The only "things" we have is nice furniture, outdoor grill and patio set, and nice clothes. My husband does have a few musical equip but not worth more than $5,000 at the most. I don't have expensive jewelry or furs or anything.

[liz417]

Thanks! I just don't have much to show for the $65,000 cc debt and I am worried they are not going to believe that if they ask questions. We mostly lived on cc's. We paid the minimum's and then charged groceries, gas, clothing, car repairs, vacations, and yes some uneeded stuff too such as a trip to Vegas, Disney World, and new household items that we could have done without. I just don't know if they will believe that or not.

I understand, many of us on this forum are in the same boat. I used cc's to pay for everyday stuff, gas, food, dining out and as time passed, I "juggled" my cc balances (74k) around to get lower rates. All I can say is, time is your friend...I stopped using my cc's on year ago and just recently filed, my attorney (actually ALL the attorneys i consulted with) said that they won't be a problem because the charges/balance transfers are old...

[liz417]

The only "things" we have is nice furniture, outdoor grill and patio set, and nice clothes. My husband does have a few musical equip but not worth more than $5,000 at the most. I don't have expensive jewelry or furs or anything.

What State are you in? Check your exemptions, most of that stuff should be covered and you'll be fine

[albacore44]

My neighbor filed last year and said the 341 was brutal. The trustee asked them why they bought a house they couldn't afford. Asked them what they charged on the credit card. Is this normal?

They are a family of five on one income and only had $20,000 in cc charges.

I am a family of four with two incomes over median with $65,000 unsecured debt. I am so nervous what they are going to do to me on the stand!

Yes, like Liz says time is on your side. i stopped paying Cc's 3 months ago, and I'm going to wait and let it age, and file when the time is right for me.

BTW- I find that statement from the trustee amusing. he should have been asking the bank " Why did you lend money on a house those people did not qualify for". The banks for the most part created this mess by being greedy and loaning money to anything that breathes, including Ilegal Aliens.

[deadbroke99]

Yes we charged alot of dining out too...I also did the consolidation thing and ended up not closing the old cards and using them too...I never want to see another cc!

I stopped using cc's Late Nov/early Dec and I just filed 5/28. I think too much I think!

[deadbroke99]

What State are you in? Check your exemptions, most of that stuff should be covered and you'll be fine

I am in SC. I know it's covered under exemptions as we don't have that much. SC has good exemptions.

I am just worried that they make look at us closer due to the high debt and nothing to show for it.

[deadbroke99]

I finally had to file when my husband's hours were reducted greatly and I ran out of available credit. I didn't pay cc's for 6 months then filed.

[liz417]

I finally had to file when my husband's hours were reducted greatly and I ran out of available credit. I didn't pay cc's for 6 months then filed.

Oh, you already filed and you are outside the 6 month mark...you'll be fine. I know it's scary and it seems like everyone has a "horror bk story or at least knows someone who has had a bk story", but it'll be fine. What did your attorney say about your local trustee(s)? Also keep in mind that with this economy, bk filings are on the rise and the trustees probably don't have time to go through every petition with a fine-tooth comb!

Stay positive

[eddiep]

Did he just ask a couple questions that made them feel like crap? I know I would be uncomfortable with thoes questions too, but if that was it, I could live with it. Did he make their bk a nightmare after the 341?

[tinfoilhat]

My neighbor filed last year and said the 341 was brutal. The trustee asked them why they bought a house they couldn't afford.

I'd turn around and tell the trustee to ask the mortgage company why they gave out a mortgage for a house to people who couldn't afford it.

Well that was the plan actually. In most cases the mortgage company can sell it multiple times by giving it to people who can't afford it, or more like CAN afford it but for a short period of time.