I'm so scared and so ashamed

[empowered]

About daglo's situation

daglo, I've been through a Chapter 13 with an attorney and am now doing a Chapter 7 pro se. A period of unemployment led to the Chapter 13; another period of unemployment has lowered my income to the point that Chapter 7 is the logical thing. I made installments to the Chapter 13 plan for about a year before it was dismissed, without prejudice, when I stopped paying into it.

Chapter 13 is tough, especially if you're an older debtor whose ability to buy a house will be put off for a good 7 years (usually two years after completion of a Chapter 13) plan and who needs to prepare for retirement. The plans may mean that while you have protection from your creditors, every extra cent of disposable income that you have goes to paying back your creditors. But this depends on how much you make and other family circumstances.

You should look at the exemptions for your state. Attorneys and the Nolo press book on bankruptcy (whichever you want, 13 or 7) will tell you to generally use the price you'd get if you sold something used. My Chapter 13 attorneys used the word "bargain basement" to refer to estimates of value.

For some reassurance you can find the link that provides exemption information for your state. Note that these are not always current so you should take them with a grain of salt. But they'll let you know how much room you have to maneuver. See the link: http://www.legalconsumer.com/.

You might want to open up a separate thread to discuss your problem. Your information is lost inside this thread, which was originated to discuss Panacea's situation.

Good luck.

[daglo]

daglo, I've been through a Chapter 13 with an attorney and am now doing a Chapter 7 pro se. A period of unemployment led to the Chapter 13; another period of unemployment has lowered my income to the point that Chapter 7 is the logical thing. I made installments to the Chapter 13 plan for about a year before it was dismissed, without prejudice, when I stopped paying into it.

Chapter 13 is tough, especially if you're an older debtor whose ability to buy a house will be put off for a good 7 years (usually two years after completion of a Chapter 13) plan and who needs to prepare for retirement. The plans may mean that while you have protection from your creditors, every extra cent of disposable income that you have goes to paying back your creditors. But this depends on how much you make and other family circumstances.

You should look at the exemptions for your state. Attorneys and the Nolo press book on bankruptcy (whichever you want, 13 or 7) will tell you to generally use the price you'd get if you sold something used. My Chapter 13 attorneys used the word "bargain basement" to refer to estimates of value.

For some reassurance you can find the link that provides exemption information for your state. Note that these are not always current so you should take them with a grain of salt. But they'll let you know how much room you have to maneuver. See the link: http://www.legalconsumer.com/.

You might want to open up a separate thread to discuss your problem. Your information is lost inside this thread, which was originated to discuss Panacea's situation.

Good luck.

Thank you so much. I do not know how to open a new thread?

[brokejoker]

We do not qualify for a Chapter 7 I found out due to our income. We did not pass the means test. We have a decent income, but ALOT of debt. How do they determine what you can keep?

I've got things that were my grandmother's that are sentimental things, not worth anything to them, but can they take anything away after my exemptions? How do they determine that? I also read on this site that alot of people wouldn't go through a CH 13 because it is so hard. We are living hand to mouth now, and budget shop, buy nothing, etc, so I guess it wouldn't be too hard to do!!

Exemptions go by state. Just look yours up and you can see what you'll be working with. Remember that the value of your items is going to be garage sale pricing. How much is a used toaster worth at a garage sale anyway? 50 cents? If you have true antiques from your grandmother that are worth realmoney then you may have to pay the difference between the value of the items and your exemptions into your plan but as long as you can do that you will most likely keep the items. Trustees don't really want storage sheds full of other peoples stuff that needs to be sold for a few bucks!

[backtoschool]

We do not qualify for a Chapter 7 I found out due to our income. We did not pass the means test. We have a decent income, but ALOT of debt. How do they determine what you can keep?

I've got things that were my grandmother's that are sentimental things, not worth anything to them, but can they take anything away after my exemptions? How do they determine that? I also read on this site that alot of people wouldn't go through a CH 13 because it is so hard. We are living hand to mouth now, and budget shop, buy nothing, etc, so I guess it wouldn't be too hard to do!!

In a Chapter 13 the trustee does not take your unexempt property into the bankruptcy estate like in a chapter 7. In a chapter 13, you simply keep your assets, but end up with a trustee approved payment plan based on your salary, that will go to pay off your creditors over a period of time. Your expense and income schedules will determine how much money goes towards paying your creditors. Secured creditors get paid first. Second mortgages can be stripped in a chapter 13 as well.

[empowered]

daglo,

From any section of this "forum" or bulletin board (now you're in the Chapter 7 forum), click the New Thread button on the left side near the top.

If you don't see the button, you're not at the top of the section.

From this response, you can scroll to the top of the page. Find the blue hypertext links that look like this:

Bankruptcy Form > Before the Discharge > Chapter 7 > I'm so scared and so ashamed

This series of links tells you where you are in the forum. Click Chapter 7 and you will go back to the top level of the Chapter 7 section of the forum.

Then you should be able to click (press) the New Thread button.

And that shows a screen that looks similar to the screen you've been using to reply to this one.

Good luck. You'll get the hang of it.

[LadyInTheRed]

daglo,

From this response, you can scroll to the top of the page. Find the blue hypertext links that look like this:

Bankruptcy Form > Before the Discharge > Chapter 7 > I'm so scared and so ashamed

This series of links tells you where you are in the forum. Click Chapter 7 and you will go back to the top level of the Chapter 7 section of the forum.

Daglo, since your question has to do with Chap 13, click "Before the Discharge" instead of "Chapter 7", then click "Chapter 13" and find the "new thread" button.