Filing Ch7, then looking for a job

[toonces06]

Hello all -

After several years of massive issues, the wife and I are considering filing Ch 7. We have been told for a few years to go ahead and file (even by some judgment debtor attorneys) but I have been holding off in hopes that my business would turn around and allow us to begin to work out payment plans with our creditors.

So, my question is, if I file Ch 7, then go job hunting, what happens if I land a job during the bk proceedings?

Quick notes on our situation if needed:

Why: Job loss, major medical issues, bad business decisions

What: Income the last 3 years has been about $15k - $20k annually (used to be 70k), family of 5, medical premiums alone are $2000/month, we burned all savings staying afloat, have nearly $1M in listed potential debts, have 3-4 judgments from business that are attached to our house, house in foreclosure, cashed out all our 401k/savings/etc to live on, house has no equity, but no upside down, no other assets

Additional question: Does a Ch 7 wipe the judgments off our home so that if our lender allows us to stay in the home if I get a job, the home is free of the existing judgments?

TIA!

[HGolightly]

I found a job a few days after the 341 meeting. They ran a background check and the bankruptcy was on the credit part of the check. I know this because I got a copy of the notice in the mail. They hired me anyway. Probably because they knew I had been unemployed for nearly a year and ran out of money. If you are not looking for work in the financial sector - banks, etc. - and your financial woes are due to loss of income, etc. - you may not have a problem getting hired. These are hard times and getting harder. Best of luck to you.

[toonces06]

Hey - thanks for the comment. That is helpful, but I'm more worried about what a sudden new income stream would do to a bk if I landed a job.

We are an easy ch 7 right now. My business has been so sporadic that last few years and I'm finally throwing in the towel.

But when I file and then go on a job hunt, if I land a job in a month or two at good wages, what happens?

[AngelinaCatHub]

Hey - thanks for the comment. That is helpful, but I'm more worried about what a sudden new income stream would do to a bk if I landed a job.

We are an easy ch 7 right now. My business has been so sporadic that last few years and I'm finally throwing in the towel.

But when I file and then go on a job hunt, if I land a job in a month or two at good wages, what happens?

My God man, from what I read, go get a job. There is no way you would not fly through that with a 7 probably no matter what you made. I haven't heard worse if I read you right.

Now, seriously (and I was) it depends on the income. I doubt that you would have any problem if you made 100K.

Now about those Judgments. Speak with your lawyer of course but you can get those Judgments removed. It requires extra trouble though and is not automatic. Best to you. 'Hub

[ApresMoi]

I'll share what I was told (by a BK attorney): "The trustee can always file a motion to dismiss based on 'changed circumstances' at any time before your case is discharged. If you get a job that pays twice what you were making when you file then you should expect that the trustee will try to dismiss your case." Though given the level of potential debt that you list (a Mill??), maybe that does not apply to you. I would check with a BK attorney.

Hey - thanks for the comment. That is helpful, but I'm more worried about what a sudden new income stream would do to a bk if I landed a job.

We are an easy ch 7 right now. My business has been so sporadic that last few years and I'm finally throwing in the towel.

But when I file and then go on a job hunt, if I land a job in a month or two at good wages, what happens?