Has anyone waited to file in order to pass the means test?

[runnersdelig]

I just talked to another attorney and he said we were very close to ch 7. He recommended that we wait until September to file so that our bonuses would fall off the 6 month test. Has anyone else been advised to wait?

I believe we have a default judgement against us. Not sure when our wages will be garnished. The atty today said that waiting would get us into ch7 territory given our large mortgage and other expenses. He also said that we would be garnished but if we can suffer through those for a few weeks and then file 7, he strongly would encourage us to wait.

I'm so stressed out and just don't know what to do or who to believe anymore.

[2manybills]

Your attorney is correct. The farther out from the bonus the better. You usually only have to file 8 weeks worth of paystubs when you file, but the means test is a "six month"look back at your earnings.

When was the judgment entered?

[runnersdelig]

We had until June 14th to file a response but my first atty told me not to bother because we were filing bk anyway. So, I'm assuming it's coming around the corner very fast here.

[2manybills]

Depending on the State you are in, in California the Courts are so backed up, especially since they all have furlough days once a month, that it is taking 30 to 45 days to enter judgment.

I would have your attorney contact the creditor's attorneys and tell them that he is retained and will be filing. Hopefully that will stay off any attempt on their part to go out and get judgment entered and then actually try to execute on it.

[im2oc4u]

I was told since we got a refund from our uncle we should wait until Oct 16th

[tay666]

Yes, waiting to qualify for a CH7 is a common occurance.
Many people time their filings so the 6 month look-back is the best possible for them.

As for the judgement, don't assume they will be garnishing before you file.
A lot depends on how backed up your local courts are.
I know in my own case it actually took quite a while.
Along the lines of 3 or 4 months just for the judgement to actually be entered against me.
You should get another letter from the court letting you know that a judgement has been entered against you.
Then, after that, the creditor (depending on state laws where you live) still has to file more papers to get the garnishment decree.
Then they have to serve your employer.
So, it could drag out for quite a while.

[runnersdelig]

Thanks for the replies. I think we are going to wait until September to file. If we do get garnished, we are prepared to deal with that.

My next question is this, do I stop paying all the creditors? The first people to serve us (Discover) set us up on a payment plan of $100 a month. I just received something in the mail from them increasing the payment to $300 a month and for me to sign the paperwork.

I'm assuming that I should still pay for the four walls: mortgage, utilities, childcare and food, etc.

[tay666]

IF you know you are going to file, then stop paying all unsecured creditors.
That means, quit paying credit cards, or any other debts that are not secured by a physical asset (like a house or a car)
Also, don't charge on them either.
You will need to get used to living on cash. Paying your bills and necesities without using credit.
By all means, keep current on all secured debts that you intend to keep.
Also, keep paying your normal bills. You still need all those services to survive and live after your BK is done and over.

[ja181]

You may want to also change your phone # or switch to a phone service that lets you block lots of numbers. Doing this made my life much easier to deal with.

There will be relentless calls at all hours of the day, every day of the week, and they will be mean.

[runnersdelig]

I changed my phone number this week and it is unlisted.

Is it okay for me to save money to file bk? I just don't know how this will look if I stop paying all the credit cards.

[Lurker99]

Have you taken the means test? Unless your bonuses are huge you are probably very close to the automatic amount which means you will probably pass the means test. My lawyer wanted to do everything he could to not complete the means test, but in the end it had to be done and I qualified for chapter 7.

[keepinitreal]

I changed my phone number this week and it is unlisted.

Is it okay for me to save money to file bk? I just don't know how this will look if I stop paying all the credit cards.

Yes, that is exactly how you'll have the money to pay your attorney.