new here and looking for some advice

[brokebamm]

Me and my wife are thinking of fileing for chatper 7. We are in cc debt around for around 35,000. We'll pass the means test our anualy gross income is around 43,000. We not behind on any of are bills yet but we can barliey make it check to ckeck. Should we quit paying on them and save our money for the attorney? How long should we wait to file. i was thinking after we file taxes to help with fees?

The only real assets we have are our cars hers is values at around 3500 mine is about 500 needs motor but runs. We have a moblie home aroun 4000 and i have a motor cycle about 3500. Scared we'll lose everything, creditors harssing us at home or work.

Thanks
John
p.s we will live in KY and will be reading alot here

[btbeme]

Kentucky allows you to use federal exemptions, and that is likely what you should choose as the state exemptions are pretty stingy. Some very basic notes (off the top of my head, ask a local atty for better guidance):

- Cars - probably OK.
- Mobile home - should be exempt under federal homestead exemption.
- Motorcycle - unless it is used in lieu of a second vehicle, may be at risk unless covered by federal homestead exemption
- Exemptions - The federal wildcard exemption and the exemption for homestead may be a BIG help to you on the motorcycle and/or tax refund. Check with an atty.

Bills - you can pretty much stop paying any unsecured debt (credit cards, medical, etc) whenever you want. It will take them 3-6 months, maybe more, before they do anything to sue you. To keep the harassment to a minimum, you can always change your phone # to GoogleVoice, which will allow you to block specific incoming numbers. Also, I suggest that you occasionally answer creditor calls - 1 time a month - so they don't start calling you at work or calling relatives, etc to find you. Be polite and tell them that you will do what you can, when you can. Don't mention BK, and don't pay them anything.

Other bills - if you have loans on cars, house, or anything you want to keep, keep paying. Also, pay utilities, etc. Student loans are not dischargeable, so keep paying. Tax liens, etc - keep paying.

Timeline - My opinion is to delay filing until the last possible moment before a default judgement or some other big trigger. If you can, stash as much as you can under your exemptions, then file. Would it be better for you to have $0 in exempt cash, or $8000 in exempt cash when your BK is discharged? But, again, talk to an attorney, and know your own level of tolerance. But be smart about it and listen to your attorney's advice.

Bottom line - you are probably in a good position to be able to BK and keep pretty much everything. Get in to talk to a few BK attorneys ASAP to get their local informed advice. Interview several before making a choice. And make sure you spend money only on exempt purchases until you file - your atty can advise you there. Keep all receipts.

Welcome to the forums - we are here to help! Keep us informed as you move along!