Met with diff. attorney...

[michaelsmom]

I don't know if you all remember, but my husband and I met an attorney last week who was a real jerk. He was impatient and not very informative. We met with a different attorney today (he was recommended to us) and he was awesome! He answered all of our questions, and then some! He even played a little bit with our two year old son

Anyway, we have decided to file Chapter 7 and to use this attorney. I do have a few questions though. A little info:

We are expecting a baby in October and the attorney has advised us to wait until after the baby is born to file so that we can include all of the medical bills (especially in case something goes wrong and the bills come to a lot more than we are expecting). Makes sense. He also advised us to buy a new car! I have to tell you that I was very surprised by this, but we are current on our all of our payments and he said we can choose what we want to include in the bankruptcy. So we are going to give our 03 Explorer back and buy a large car (we don't plan on a buying a brand new one, just a nice one that will be big enough to hold 2 car seats in the back seat). Lastly, we were advised to stop paying our mortgage, credit card bills, and car loans (except on the new car).

So we plan on stopping these payments in October and using some of the money for me to take the 12 weeks of maternity leave I am allowed through FMLA. We are also going to use the money we save for a security deposit and first months rent on a new place. Plus we'll still buy our basics like groceries.

So here are my questions:
1. How soon after we stop paying the bills should be officially file for bankruptcy? We'll need the money we save up to hire the attorney.

2.When should we move out of our house and into a place we plan on renting? Our attorney said it can take 6-8 months before a house is forclosed on.

3. Won't it look bad if we buy a new car, stop paying our bills, and then file bankruptcy?

4. If the answer to #3 is yes, then what happens, since we've stopped our mortgage payment and possibly lost our house due to a forclosure, if they either dimiss our case or try to change it to a chapter 13?

I hope these make sense. We would have asked the attorney all of this, but my husband and I didn't think of them until we were driving home. I appreciate the information!

[AngelinaCatHub]

OK, all in all, I like the fact you found a great guy for a lawyer. I don't like what he recommends as it is tantamount to fraudulent planning. That being said, his advice is actually sound. Nuff said.

I understand if you purchase a new economy car, the Bamanomics could give you $4500 credit towards it for any gas guzzler. Not sure about all this. I'm not in the market.

I would purchase a reasonable car. You are right (in my opinion) as it could look like a vanity purchase.

About the cards and stuff, stop using them of course. You have read this here. Let as much time go by as you can.

DON'T pay the lawyer off but set aside enough to do so. I've seen too many paid off just bail out.

Seems to me you are blessed with a good guy with a good plan.

I hope your new one is a boy or a girl. LOLOL.. 'Hub

[liz417]

Glad you found an new attorney...that's very important

As for the new car, when I was looking to file a ch 13 a year ago, I was told the same thing and I purchased a new (used) car. He wanted me to get a car that will last the duration of your repayment plan. From a ch 7 perspective, I just don't know how it's viewed by the Trustee. I *guess* that if you make AT LEAST a few payments towards the car, you would be free and clear...I don't know...
I'm sure someone will come along that has more advice on a ch7 and purchasing a car.

Oh, oh, I just remembered, one of the questions my Trustee asked was: "have you taken out ANY loans within the past year? Hmmmm.....

[TEW]

I don't know if you all remember, but my husband and I met an attorney last week who was a real jerk. He was impatient and not very informative. We met with a different attorney today (he was recommended to us) and he was awesome! He answered all of our questions, and then some! He even played a little bit with our two year old son

Anyway, we have decided to file Chapter 7 and to use this attorney. I do have a few questions though. A little info:

We are expecting a baby in October and the attorney has advised us to wait until after the baby is born to file so that we can include all of the medical bills (especially in case something goes wrong and the bills come to a lot more than we are expecting). Makes sense. He also advised us to buy a new car! I have to tell you that I was very surprised by this, but we are current on our all of our payments and he said we can choose what we want to include in the bankruptcy. So we are going to give our 03 Explorer back and buy a large car (we don't plan on a buying a brand new one, just a nice one that will be big enough to hold 2 car seats in the back seat). Lastly, we were advised to stop paying our mortgage, credit card bills, and car loans (except on the new car).

So we plan on stopping these payments in October and using some of the money for me to take the 12 weeks of maternity leave I am allowed through FMLA. We are also going to use the money we save for a security deposit and first months rent on a new place. Plus we'll still buy our basics like groceries.

So here are my questions:
1. How soon after we stop paying the bills should be officially file for bankruptcy? We'll need the money we save up to hire the attorney. I waited 6 months I have read about others waiting longer

2.When should we move out of our house and into a place we plan on renting? Our attorney said it can take 6-8 months before a house is forclosed on.sounds about right
3. Won't it look bad if we buy a new car, stop paying our bills, and then file bankruptcy?no make sure the loan for the new car is perfected before you file meaning that the lean is in place ask your lawyer about this

4. If the answer to #3 is yes, then what happens, since we've stopped our mortgage payment and possibly lost our house due to a forclosure, if they either dimiss our case or try to change it to a chapter 13? what did the lawyer say about this did he check your numbers

I hope these make sense. We would have asked the attorney all of this, but my husband and I didn't think of them until we were driving home. I appreciate the information!

these are good questions. planing your BK is the very important you need to understand it. ask away.