Ok, so I have been reading on this forum for awhile now. I appreciate all the advice. My situation is , Family is myself, husband, and 19 yr old son at home. We are over median income for Washington State by about $5000. I work 2 jobs, so I could quit one to make us under median.
We have $80,000 in credit card debt. I WAS using the cards for food, gas & to pay other bills. I stopped using the cards mid-May, and also stopped paying the cards the end of May. I made no luxury purchases ever. We retained attorney May 15th, we met with him under the assumption we would be filing Chap 13, due to the fact that we insist on keeping our home, and we're over income. He looked over our paperwork and says, you can file Chap 7 no prob. That is ALL he does , is Bankruptcy cases.
We have been saving up to pay to file by end of august, but after pouring over several posts on this forum, I am confused as to how we could possibly be chap 7. Our home we've lived in 23 yrs was appraised recently for $152,000. We have 3 years left on our original mortgage, balance of $17,800, and we also have 2nd , HELC balance $48,500. I am confused about the whole equity thing, and home exemptions. My understanding is WA state only allows $40,000 home exemption. It thats the case we have too much equity & would be forced to sell home to pay creditors, am I correct? We absolutely want to keep our home!
SO say we cant do chap 7 and forced to do chap 13 to save house , we only have about $600 left each month after paying bills & medical expenses ,and that probably isn't enough to satisfy a chap 13 payment plan for as much debt & equity that we have, am I overthinking this ??
Any insight is greatly appreciated , thank you
We have $80,000 in credit card debt. I WAS using the cards for food, gas & to pay other bills. I stopped using the cards mid-May, and also stopped paying the cards the end of May. I made no luxury purchases ever. We retained attorney May 15th, we met with him under the assumption we would be filing Chap 13, due to the fact that we insist on keeping our home, and we're over income. He looked over our paperwork and says, you can file Chap 7 no prob. That is ALL he does , is Bankruptcy cases.
We have been saving up to pay to file by end of august, but after pouring over several posts on this forum, I am confused as to how we could possibly be chap 7. Our home we've lived in 23 yrs was appraised recently for $152,000. We have 3 years left on our original mortgage, balance of $17,800, and we also have 2nd , HELC balance $48,500. I am confused about the whole equity thing, and home exemptions. My understanding is WA state only allows $40,000 home exemption. It thats the case we have too much equity & would be forced to sell home to pay creditors, am I correct? We absolutely want to keep our home!
SO say we cant do chap 7 and forced to do chap 13 to save house , we only have about $600 left each month after paying bills & medical expenses ,and that probably isn't enough to satisfy a chap 13 payment plan for as much debt & equity that we have, am I overthinking this ??
Any insight is greatly appreciated , thank you
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