What is the average amount of debt that people have when they decide they should or need to file for bankruptcy? I have $37,000 in cc debt, but with all my cc minimums, I have a negative cash flow per month.
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There is no min or max amount; no magic number. Some people on this board have filed with millions of debt others with a few thousand. You need to compare the debt you have to your ability to service that debt.
If you have negative cash flow that's an important sign. However, what about assets? In BK any non-exempt assets will be sold to fund your creditors.So the poor debtor, seeing naught around him
Yet feels the narrow limits that impound him
Grieves at his debt and studies to evade it
And finds at last he might as well have paid it. -
We had 42K in CC debt, much of which was incurred over the last 2 years just trying to keep up with a rising mortgage payment. Our 1st and 2nd combined was 204K with our house only coming in at 135K. We were sucking canal sand and had to get out before we drowned!Comment
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I had 39k and funny that an article I had recently read had indicated that 39k was the average amount. Everyone's case is different. If you have negative cash flow every month like myself, Chapter 7 can be a life line. The amount is irrelevant. Disposable income after expenses are met is the key.Comment
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I had discharged $85,000 including a $16,500 car loan. I don't even know how I accumulated so much debt as I'm 28 years old!! However, it all just boils down to can you afford the payments anymore and realizing how far behind you are. Today, I could never, ever imagine having that much debt! Jeesh, the description of be debt free is almost as good as sex. Soon you too will join the debt free club
Last edited by drowningNdebt; 02-16-2010, 04:09 PM.9/22/2009 - officially filed chapter 7
11/03/2009 - scheduled 341
- COMPLETED
01/04/2010 - last day for objections
01/11/2010 - DISCHARGED & CLOSED
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Look back thru the older posts, I remember someone took sort of a poll and a lot of members replied with their amounts.
I found it....http://www.bkforum.com/showthread.ph...ht=overmylimit"I'm old enough to know better, but too young to care"
Filed Chapter 7 January 25th 2010
341 Hearing March 4th 2010
Discharged May 10th 2010Comment
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I have about $70K in unsecured debt.Comment
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Correction - with car - 72k - not reaffirming autoComment
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There is not magic number, but I was $72k in credit card debt only, plus 2 vehicles and a home, all discharged and nothing reaffirmed.May 2008 Hired 1st Attorney/Stopped paying CCs
May 21, 2009 Retained 2nd Attorney
May 28th - Filed for Ch 7 (FINALLY!)
9/11/09 - DISCHARGED!!!!
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