It's a Biggie Bankruptcy needs to get filed due to MSJ and 1+ years of putting it of

[professorkev]

After more than two years of contemplating it, struggling with it, and even a year after meeting and small deposit of retaining the BK attorney - Finally sitting down with him This week to officially file within days after that. There have been many life events and struggles for the past year, thus just kept procrastinating. However creditor filed a motion for summary judgement and certainly don't want to deal with liens put on the house or income.



????? I Thought motion 4 Summary Judgement could be postponed? at least by the lawyer?

????? Attorney office said the other day they needed wife's Banks, Stocks, assets, 401K.... I only thought they needed her Paystubs?



I have carried debt for more than a decade and always able to maintain payments and keep a 780 FICO up until almost 3 years ago. The crash of 2008 began the downward spiral for me. I have 15+ creditors with an average of $13K on each - all unsecured debt. Always thought I could work out settlements and although many were willing there were others that wouldn't. My BK is solely mine, nobody elses and everything is in my name, except of course the house in both of our names. Luckily my wife was more able to deal with her finances, perfect score and perfect history and perfect financial senses.


My Attorney solely practices in BK, has an excellent reputation and is what a consider to be a shark in his field and former Marine, he's just sharp as a tack and also a former trustee as well and . HE stated to me that I would also have file a deposition (I think that was it) to explain the large debt (explanation is reasonable to him). He still is quoting me the original price from over a year ago.


Last week when I called and spoke to his Legal assistant, she said they can't do anything with the pending May court date for the motion because they are limited for 10 days after BK is filed before they can act on it. Certainly that motion by the creditor can be adjourned? Hell Baker Sander in NYC is unlikey to drive 400 miles to go to a city court. Maybe I should go. (but again when I sit with attorney this week he'll explain more on that I guess"

Well I made the decison an hour ago to stick with LAwyer #1 Although I think his paralegal is abrupt and talks down to you, I'll just have to try putting her in her place tomorrow and remind her I don't do this everyday. He's got a reuptation here and all over the us for he does alot of the seminars. The fact he has an IVY league education, masters in economics & teaches it too and that he's a marine (not former because once a Marine always a Marine)



Yes it will cost me more, but divide by say 12 motnhs and it's really not bad. I just hate giving up the chance to use a free lawyer due to legal insirance wifes work has, BUT we'll be using them for Will & Trusts stuff. This mismanging of my finances has nearly led to divorce. So hopefully the new beginning will lead to better things.



I'll meet with them at 4:00 again and go over all the papers and if all goes well a BK should be filed by next week.

[Floridagail]

I Know you will be glad to have this behind you. I remember my feelings of great relief. I carried my debt I bet 10 yrs before I woke up.

Hubby also had a SJ coming up, If you file soon it will stop the process. We had to push our attorney to file , he dragged his feet. He finally filed the day b4 our hearing. We insisted on him faxing notice to court the day b4. It stopped it in its tracks. So If he doesn't file at least a few days b4 the hearing, I would make sure the court knows. It would be shame to have a SJ right b4 filing. It seems like that the attorney could stop it, but they just insist on you filing to stop it.

[AngelinaCat]

If you have to, you can insist that your attorney file an 'Emergency Petition'. That will stop the court proceedings regarding the SJ. But, in doing so, you must complete your paperwork within 15 calendar days or your case will be dismissed. Talk to your attorney about this.

Good luck to you.

[ValleYum]

If you have to, you can insist that your attorney file an 'Emergency Petition'. That will stop the court proceedings regarding the SJ. But, in doing so, you must complete your paperwork within 15 calendar days or your case will be dismissed. Talk to your attorney about this.

Good luck to you.

Our attorney offered the Emergency Petition feature - at an additional cost. It can be an invaluable tool (and worth the price) if you are facing a SJ, though.

Good luck!

[AngelinaCat]

Our attorney did not charge extra. I think if she had tried to, we would have nailed her 'bohonkus' to the floor right then and there. SHE was the one who had been dragging her feet up until the last business day of the year. Had we not camped in her office in order to get this done, we would have had to wait until July of the following year to file due to a retirement instrument payout coming due in January. By then we would have had at least three judgements against us. We had already waited almost two years for various reasons.

[professorkev]

Well the 1 hour meeting went well, He stated he is going to "ribb on me" next week for puttign this off and that he should be charging me $1000 more {with a smile} He even told his paralegal earlier no more BK next week until they clear the desk....Low and behold I come in.

First, I don't get it, I though with a pending SMJ (summary for motion judgement) the attorney could file a motion to delay or something; hell just call the creditor and tell them to cancel or postpone. Why can't they do that? he mentioned judges like to clear their dockets more than delay.

Second - Means test, oh boy! Wife makes about $85,000 a year when based on previous 6 months, me, well I only made about 2500 in the past 6 months. and subbing work for the past year has been practically nothing. (Remember I'm filing not my wife for everything is in MY name)

So I'm a bit worried about that and I'n dure we have enough personal expenses. I guess she has to write hers and I write mine. Can you guys help me better understand the logic behind all that. Why can't we include all the mortgage/utility/cell phones.



So HE said we can do it by SMJ court date on May 9th, but it''ll be close. Paralegal took more paperwork and set my appointment for Tuesday and said I'll be there for 2-3 hours. I guess then we go over ALL my papers and numbers I turned in and factor the means test. Anyone care to chime in on what that session entails?

It sucks how I treated this whole thing like a midterm. If it weren't for that court date we could take out time for the next two weeks.


Now Ebay has a -$80 balance and Then I sold an item to a guy on paypal which got lost in the mail and thus the Paypal dispute put it into negative balance of $175. I need to redeposit funds in that so the guy can get his money back. Bad thing to do? Hell I wasn't going to report it on the BK but somehow the courts find all that info out.

my wife agreed that BK attorney is a good shark and paralegal is good but could use some people skills. This guy can walk people through BK in his sleep. He works/teaches other attorneys in the area and at seminars he attends. Former trustee himself, he knows how it all works.

Feel free to answer my questions and ask me questions too.

[professorkev]

oh, I also got my Tax return draft from the CPA the other day, refund will be $2K federal and $500 state. Attorney said we'll discuss that later. WE still have to sign and file. Maybe I should just roll half of the return for next years liabilities to make the refund smaller. We will probably sign it and have CPA efile it monday

[LadyInTheRed]

First, I don't get it, I though with a pending SMJ (summary for motion judgement) the attorney could file a motion to delay or something; hell just call the creditor and tell them to cancel or postpone. Why can't they do that? he mentioned judges like to clear their dockets more than delay..

The way to delay a motion for summary judgement is to request an extension of time to file a respones and then file a response. When a hearing date is set (if one hasn't been already), you could try to get the hearing delayed. But you need to give a good reason. You may get away with "I need time to find an attorney" to buy you one extension. Your BK attorney would not normally be the one to help with all that. You would need to hire an attorney who practices in the state civil courts. It's not worth spending the money just to delay the inevitable. Focus on getting the BK filed.

Second - Means test, oh boy! Wife makes about $85,000 a year when based on previous 6 months, me, well I only made about 2500 in the past 6 months. and subbing work for the past year has been practically nothing. (Remember I'm filing not my wife for everything is in MY name)

So I'm a bit worried about that and I'n dure we have enough personal expenses. I guess she has to write hers and I write mine. Can you guys help me better understand the logic behind all that. Why can't we include all the mortgage/utility/cell phones..

I'm not sure about this. I'm in a community property state, so it could be different in NY which I believe is not CP. But, I believe both your incomes and all of your household expenses will be included. If your wife does not contribute all of her income to the household, then the portion she doesn't contribute will get deducted.

So HE said we can do it by SMJ court date on May 9th, but it''ll be close. Paralegal took more paperwork and set my appointment for Tuesday and said I'll be there for 2-3 hours. I guess then we go over ALL my papers and numbers I turned in and factor the means test. Anyone care to chime in on what that session entails?.

It depends on your attorney's procedures. If the appointment is for you to sign the petition, you will go over your petition and ask questions like the one you asked above. They will correct any errors you find. Be sure you review the petition carefully and ask questions about everything you don't understand. You will sign under penalty of perjury. In order to know the information is correct, you have to understand it.

It could also be a meeting where they will just review the information you provided, ask you questions about things they need clarrified (and answer your questions), request additional information and let you know if they see anything that may be a problem in your case.

Now Ebay has a -$80 balance and Then I sold an item to a guy on paypal which got lost in the mail and thus the Paypal dispute put it into negative balance of $175. I need to redeposit funds in that so the guy can get his money back. Bad thing to do? Hell I wasn't going to report it on the BK but somehow the courts find all that info out.?.

Don't hide anything!!!! It isn't worth the chance you'll get caught. Talk to your attorney about this. For that small amount, it probably is not a big deal. This is actually probably a dischargeable debt, but I suspect you want to return the guy's money so that it doesn't hurt your feedback.

my wife agreed that BK attorney is a good shark and paralegal is good but could use some people skills. This guy can walk people through BK in his sleep. He works/teaches other attorneys in the area and at seminars he attends. Former trustee himself, he knows how it all works.

Sounds like you are in good hands. Try not to worry too much.

[LadyInTheRed]

oh, I also got my Tax return draft from the CPA the other day, refund will be $2K federal and $500 state. Attorney said we'll discuss that later. WE still have to sign and file. Maybe I should just roll half of the return for next years liabilities to make the refund smaller. We will probably sign it and have CPA efile it monday

I wouldn't do that. If you roll it over, it will be an asset on the date of filing that you have to exempt. Better to file electronically and have the refund direct deposited to your checking account. You may get it in time to spend it on necessities before you file.

[professorkev]

No, it won't get to us in time for Filing. We will efile it on Monday or over the weekend. Attorney mentioned oit could be split 50/50 with wife getting 50% and then I 50%. NY has accepted that practice, however we could prorate it based on contributions form each of us and since wife made 99% of the income last year and i only 1% that could work to our favor. She deserves the refund. Wife is as honest and hardworking as they come. She was brought up with proper financial sense, and I with the spend and not save and borrow peter to pay paul.

Still though, I know my case will raise red flags. CC with $36 write off and 20K and 8K and 3K ...... Sorry trustee but I become a credit card nut always seeking the highest limits. I gardened that credit but when opportunity arose to do something with the open lines of credit adn then the market hit the fan and I could keep up with payments. all occured years ago, . all that debt and all those $800-!300 paymetns I was making and what do I have to show..... So there mr. trustee, I have nothing for you to take. {alright I vented}

[bcohen]

Now Ebay has a -$80 balance and Then I sold an item to a guy on paypal which got lost in the mail and thus the Paypal dispute put it into negative balance of $175. I need to redeposit funds in that so the guy can get his money back. Bad thing to do? Hell I wasn't going to report it on the BK but somehow the courts find all that info out.

Your Ebay buyer was already reimbursed in full--by Ebay, under their Buyer Protection Plan. Regardless of whether or not you reimburse Ebay for the losses, your buyer got paid. My advice is to take a long, hard look and see if continuing to sell on Ebay is worth $175 or not.

If you are just an occasional seller, then I'd just include the debt in my BK, knowing full well that Ebay will suspend my account, though I could later open a new one for buying only. (If you try to open another account for selling, they will suspend that account, so keep that in mind.) If, however, you sell as a business and/or receive a significant amount of your household income from selling on Ebay, then yes, you better bring that account back to good standing ASAP.

In any case, if you file for bankruptcy BEFORE the debt is paid, then you still are legally obligated to include it, which means that Ebay can and will suspend your account--even if you later pay up in full. So if it is your intention to pay the debt, make sure to do so BEFORE you file the bankruptcy petition!

[LadyInTheRed]

No, it won't get to us in time for Filing. We will efile it on Monday or over the weekend.

I efiled on a Saturday and received my refund a week and 2 days later, on a Monday.

Still though, I know my case will raise red flags. CC with $36 write off and 20K and 8K and 3K ...... Sorry trustee but I become a credit card nut always seeking the highest limits. I gardened that credit but when opportunity arose to do something with the open lines of credit adn then the market hit the fan and I could keep up with payments. all occured years ago, . all that debt and all those $800-!300 paymetns I was making and what do I have to show..... So there mr. trustee, I have nothing for you to take. {alright I vented}

What exactly do you think is a red flag? Lots of credit cards and high cc debt? That is the norm in BK, not a red flag.

[professorkev]

Excatly lady (about the red flag) Nothing red about it, it was all legit and I was paying on the debt for years until the rates started jacking up and then realized I was making a lot of intrestpayments in that monthly payment.

My Attorney said it this way "If your looking for a morality speal, don't. I will say this, the banks already made money on you."

[LadyInTheRed]

My Attorney said it this way "If your looking for a morality speal, don't. I will say this, the banks already made money on you."

I like your attorney. The banks made lots of money from me and could have continued to if they would just lower my interest rate or my monthly payments. But, they refused to work with me and I started looking for options. BK never occurred to me until I stumbled upon this site somehow. As it turns out, the banks did me a favor. Now I won't work for the rest of my life just to pay them.

[professorkev]

Well Paypal apparently refund money to the guy and now keeps my PP account in the negative; so appraently I owe PP the negative balance. I can't very well deposit the money. I'll have to call the attorney on that one.