New guy has questions ...

[supercrash]

If you run up cc's while you know you cant pay them back it is fraud.

fraud ? ..lol

Welcome to America. Have you been paying attention ?

I have been a model citizen all my life and have finally been betrayed for the last time.

George Bush just doubled the national debt, the pentagon can't account for 2 trillion dollars in the USA, http://benfrank.net/patriots/news/na...sing_trillions and has misplaced 9 billion in Iraq http://www.google.com/search?sourcei...n+iraq+missing

Banking regulations were tore down and the banks gambled with OUR NATION ..when they crashed, they didn't burn, we just gave them trillions of our money to keep them alfloat.

The CC companies spend millions and millions to lobby congress to make sure the little guy (you and I) get screwed.

And you bring up fraud ? ..please. You better start fighting fire with fire, or soon, there will be nothing left to fight for.

Are you willing to tell me right now that there ARE NOT people in this nation who are in deep financial trouble and are using their CC's to keep their family afloat for the momnet, knowing full well they can't afford to pay it back ? ...don't fool yourself, and be careful who you call a fraud.

[CS1]

Are you willing to tell me right now that there ARE NOT people in this nation who are in deep financial trouble and are using their CC's to keep their family afloat for the momnet, knowing full well they can't afford to pay it back ? ...don't fool yourself, and be careful who you call a fraud.

I don't think pcn meant that as a personal attack. If you choose to charge things to your credit cards right before you file, be extremely careful. It's well-known that the courts are likely to label such activity "fraud" and could deny your petition for bankruptcy, which would make you ineligible to file any of those creditors in a future bankruptcy.

[supercrash]

It's well-known that the courts are likely to label such activity "fraud" and could deny your petition for bankruptcy, which would make you ineligible to file any of those creditors in a future bankruptcy.

It's a judgement call. I would assume most that file for 7 would be using the cards for things they need, like gas and food...right up to the end.

Charging a flat screen a week before filing, sure, I could see getting flagged.

[LuciluS]

I am deciding on what to stop paying now.I am not late on anything, but plan on ending the mortgage, car, and CC payments, and then filing when my checks stop in about 8 months. I don't want to stop so soon that I get sued, but what to start saving money.


I guess I could go with a 13 payment plan and then default and file for 7 when my checks stop. Is that possible ? You cannot 'default' in a Chapter 13 payment plan. If you file a Chapter 13, your Attorney or you, if pro se, must File in BK Court, proper 'paperwork' to convert to a 7.

My credit rating is 805 , yep, thats not a typo. Stop charging on your Credit Cards. Our Attorney told us in late Sept. 08 we could stop paying on CCs' if:

1. No luxury or purchases over $600 in the past 90 days. He went on to suggest no purchases at all in past 90 days. He highly recommended we quit using them.

2. No balance transfers within 90 days. I had 1 credit where I had a BT for $3,500 to another CC. We stopped paying on all credit cards late last Sept. Except for the CC with the BT. He recommended we pay the minimum balance & if possible, add $25 or more to min. payment. The 3 payments did not equal $600 in a 3 month period, so no preferential payment abuse had we filed Chapter 7 in Jan. 09

What steps would preserve my credit the best ? When we knew our only choice was to file Bankruptcy in the near future, we didn't care how to preserve our credit. Doesn't matter if it is or Chapter 7 or 13. Your credit score will be trashed once BK is filed until closed.

I met with our BK Attorney, again, in early Jan. After careful review of Income & Expenses, he suggested we wait until monthly monies I, personally, received ceased which was 2/09. He told me there was no way we would be able to fund a Chapter 13 as we have and will continue to have serious Health Issues. He suggested we wait until 9/09 to file using Dh's Gross income from 3/1/09 - 8/31/09 so we would be below our State's Median Income.

I receive under $1,500 monthly in Social Security Disability. This income is Not included to determine State Median. However, it is included when determining Gross Income less Expenses = disposable income.

We stopped paying all credit cards in 12/08. I believe most are in the hands of Collection Agency. The CC cos. and/or CAs' are able to hit a 'soft pull' on our credit bureaus 3 reporting agencies, along with a report of our Assets. I honestly believe no lawsuits because only Asset not tied to a Loan/Mortgage is my 99 Toyota Van. My take on the Van is they know I receive SSD & quite possible van will be exempt as it has been coverted for my disability.

My opinion: IF you know BK is in the near future:

Stop charging & paying on your credit cards. Yes, it's a judgement call on charge made for Necessities only; however, possible burden of proof will be on You. Keep receipts for everything (cash, debit card and or check) It's not easy to live the first couple of months without charging - we've managed to do so since Jan. of this year and are paying at least $800 a month in Prescriptions and medical bills(DH and I have No choice & both of us have medical insurance). We are current on our mortgage of $900 mth. and Dh's truck payment of $470 mth.

Wishing You and Yours The Best,

Luci

[supercrash]

Thanks for your input.

I would also like the house to go away ($1900 per month)

Should I stop paying now if I plan on filing in the next 8 months ?

Can it still be used as a monthly expense when I file, even though I am not paying on it ?

I have nothing but questions, and frankly, I am looking for a new lawyer that will be more willing to help me, the partner of the lawyer I went to had a 'tea party' sticker on his car that said "taxed enough already" ..I asked the receptionist "why would he protest taxes now ? ..right after President Obama just gave the nation the largest tax CUT in history ? ...and not protest when Reagan gave the nation the largest tax INCREASE in history ?" ...All I got was a shoulder shrug and a 'i don't know' ... I said

"It's cause he's not really protesting taxes, is he?"

Lawyers are bad enough, but republican lawyers, no way in hell.

[dingdong]

Lawyers are bad enough, but republican lawyers, no way in hell.

That made me smile!

[dingdong]

I would also like the house to go away ($1900 per month)

Should I stop paying now if I plan on filing in the next 8 months ?

Can it still be used as a monthly expense when I file, even though I am not paying on it ?

.

That depends on your district. If you have some DMI and need the mortgage to zap it or pass the means test, you may need to continue paying until you file.

Meet with a few more attorneys, ( w/o tea party stickers ), and ask them if your district requires continued payments on the mortgage to use it as an expense.

There are some courts that have ruled that as long as it is a previously contracted/scheduled payment, you can use it, there are some that say you can only use it if you are paying. It is kind of a wishy-washy area.

[LuciluS]

Supercrash:

I'm unable to answer your mortgage question as it is 'hit or strike' depending on your State.

Google is my best friend My suggestion would be to google your city, state to determine your District/State & and 'bankruptcy' on end. The website for your district should be near the top. Spend some time on that website.

My district website allows me to see the 5 or 6 Judges, not Trustees. I'm able to see bankruptcy appeals which has helped me. My website lists the Trustees; however, to see 'Specific Bankruptcies' one must enroll with a website named 'Pacer'.

Anyone may register with Pacer. Cost is $.08 per page to view. I've not persued my registration Yet. So far, our BK Attorney has answered all of our questions in the 2 appointments and via email. My Dh calls me an 'Internet Junkie'. Afraid to register with Pacer at this time in our quest for a Chapter 7.

IF, you feel comfortable, post your home State and others may possibly be able to help you.

Luci

[LuciluS]

One is able to interview 3,4,5 or more Lawyers and get 'different' opinions on questions asked from each. We interviewed 2 in the closest city near our small town of 2,400 or so population. We chose our Attorney with 20 experience and his practice is only Bankruptcy cases.

My heart's (I don't like using the word 'gut') reaction has, thus far, been right.

Luci

[supercrash]

thanks ya'all

This site has been very helpful.