When to file?

[StEt0417]

My husband and I have been trying to decide when to file. We dont have any money saved up. We are trying to decide if its best to just file in December of this year, then save our money while we wait for the BK to be over then and until we have to leave the house. We are in foreclosure right, we had an attorney who was delaying the process but got rid of him a few days ago because he charge so much. We where only served in August, so I dont think we are very far into the process. The thing about filing now is we dont know how long we will be able to stay in the house and save. I guess it depends on how bad the bank wants the house back? With this we thought, we file now, then anything we save during and after wont be taken away from us.

Or

We could have our attorney draw out the foreclosure process for a little while longer, save money, then file Ch 7 BK. The only thing about this is Im worried about getting judgements. Our pest company just put a lien on the house for $150.
Im also worried about having to claim the money we save before hand in BK. Our attorney said we are allowed up to 12g exempt wages since my husband is the only one who works. Although we wont come close to this, Im still worried they could take it.
We are also worried about our tax return, we usually get some money back, Im hoping they wont take an expected return away from us.
We have a boat that they will probably take from us as well.

Is it really best to pre-plan? If so, how?

We havent hired an attorney yet but found one we like, just gotta pay him

[newbie2]

Since your home is already in the foreclosure process, how much have you been able to save since it started? (Don't worry about the pest lien on the house since you are not going to keep it.)

You will have notice if you are close to receiving judgments and having wages garnished. You do have time to plan, and yes that is always much preferable than to have to file in a hurry when you are panicked about something. Since you've already found an attorney you are comfortable with, save as much as you can (and as much as you can exempt) then file.

[tcreegan]

Hi StEt,

Probably the best and most common pre-planning is to immediately stop debt payments and banking the payments for your new post-BK life. Your atty has already helped w/ how much you can exempt, this is the Fla exemption:

Wages

222.11 - For head of family, 100% of earnings up to $500 a week; Applies to either unpaid or paid wages, or wages deposited in a bank account for up to 6 months.

Staying in the house payment-free as long as possible is also commonly done. Ask your BK atty if after the BK, does the foreclosure process in Fla continue where it left off or do they have to start over from the beginning. Your BK atty can also give you the timeline for a foreclosure, how long you have b4 you actually have to leave. At any rate the BK will get you a couple months at least...

The only thing about this is Im worried about getting judgements. Our pest company just put a lien on the house for $150.

...meh, don't let these scare you, judgements take time, months, and are easily stalled for more months. Liens, judgements, the BK will take care of these.

From what I can see, even the tax refund will be safe, here another Fla exemption:

222.25 - Motor vehicle up to $1,000; prescribed health aids; federal income tax credits or refunds.

I am really glad to see this: We havent hired an attorney yet found one we like

From what I have heard here on the forum, Fla can be a tough place for a BK case. And don't be shy about shopping around for attys, find one who matches your style, communicates the way you do, has the work ethic/organizational style you are comfortable with, someone open and honest about what they will/can do and what they won't/can't do. You should be comfortable and confident in your BK atty.

And keep posting here, lots of good folks around to help out!

Tom in Colo

[debee]

This link will take you to a discussion about how long Florida foreclosures are taking, how to track your bank's activity in reference to it, how you will know how much time you have left, district specific personal stories, etc.

http://www.bkforum.com/showthread.php?52955-Florida-Foreclosure-timeline

[StEt0417]

Since your home is already in the foreclosure process, how much have you been able to save since it started? (Don't worry about the pest lien on the house since you are not going to keep it.)

You will have notice if you are close to receiving judgments and having wages garnished. You do have time to plan, and yes that is always much preferable than to have to file in a hurry when you are panicked about something. Since you've already found an attorney you are comfortable with, save as much as you can (and as much as you can exempt) then file.

No we havent saved any money. We defaulted on the 1st mortgage in May, hired an attorney then was served at the end of August. During that time were paying our attorney $750 a month which i found out later was a lot compared to others. Plus making our credit card payments. Nov is the first month we stopped paying the attorney, credit card debt, 2nd mortgage etc.. We have been able to catch up on our household bills, plus we will have a little left over to give the new attorney a deposit at the end of the month.

The attorney suggested it was better to draw out the foreclosure but i was just worried about having it taken away in BK.