Filing in NM and need advice

[lunasgal]

Hi All- So glad to have found this board- So I had a great job the last 16 years and made around 70k a year. I was able to make all my payments and run a small horse rescue with my extra expenses- In Jan I was laid off with 50k in unsecured cc debt and my rescue ( private not non-profit ).

I received a severance which I pretty much used up this year with my house payments and keeping my rescue afloat, and took a job that started at 10.80 a hour as I was afraid my unemployment would dry up and I wouldn't be able to find a job. Anyways with creditors threating lawsuits I filed Chapter 7 and realize that I am going to have to give up my house and am in the process of adopting out my horses. The hopes of finding a better paying job isn't going to happen here where I live in the near future

My lawyer says I have nothing to worry about as I had a great job, and like so many people were laid off and now can't even afford my mortgage. I am going to try to reaffirm with Citi, but based on my income I don't think they will do anything and my lawyer suggests I let my home go. My hopes are I will get another well paying job in the future, but for now I have to live in the present.

So my question is, I got my notice from NM BK Court- It says the presumption of abuse arises, which I am sure based on my past income that would be the case. I haven't used any credit cards since I was laid off, and I am just worried the court might freak out with the fact that I used my severance to stay afloat, versus paying the creditors. I tried to negotiate settlements but could never get them below 40 percent of value. My home is the only thing current.

Anyone have any experience in NM or with horses and BK? They are listed on my bankrup but they aren't worth anything as they were saved from kill lots and I have spent the last your years saving and rehoming animals.

Any advise or red flags anyone sees please let me know. My lawyer says I am fine, but I am just so worried.. My case is Aug 30th and my trustee is Philip Montoya. I just want to rehome all my animals and move on with my life and this past nightmare..

Thanks- Kristen

[lunasgal]

Also just my initial notice states the presumption of abuse arrises- In my file the flags listed are Flags: DebtEd, MEANSYES, JA - I only filed a week ago

[ForumReader]

It is a normally nerve-wrecking process at the beginning with a bk filing. As for your concerns (I don't reside in NM or have horses, but hopefully there will be other posters from NM to share with their experiences), you should discuss the issue of presumption of abuse with your lawyer and find out why this happened. Also did you take the initial debt ed course before you filed? Welcome to the forum and please hang in there!

[lunasgal]

Hi- Yes I took the class, taking the second class this week now that I have filed- I think my severance factored into my monthly income and it looks like I make more ( Based on the past six months ) then I actually do. My lawyer said to make sure I can itemize where my severance went, and I will be fine. After reading over these forums I really think I should have waited till Sept to file when the severance fell off ( got my severance middle of March ).

I feel like going down to the courthouse some day and watching 341 hearings and see how they go- A friend at work went through two weeks ago and said after five quick questions, under two minutes it was over. All I have is credit card debt, and no debt was occurred after I was laid off so hopefully I will be able to explain everything and the trustee won't see the horses and their care as abusive spending. I should have sold them right away but I was hoping I would get another good paying job and finding homes for broken down thrown away horses is hard.

Anyway thanks, going to call the lawyer and see what he says.