Got a cup of coffee? (request for advice - long)

[mathathia]

http://www.bkforum.com/attachment.ph...3&d=1142185997

[MomIcantFindmy]

None of us are thinking "How did he let himself get into that situation" we are all here with you for various reasons. I'm thinking .....Yea!! Another Floridian!!! (Actually I am a transplant from the north).

Good idea to talk to a few lawyers. Why do you have 70000 unpaid child support if your EX is getting the money? Was it supposed to go through the court?

Some people have let the house foreclose and moved somewhere cheaper. Also I have seen some people turn the car back into the bank. Be careful though because if you are filing 13 you need to make sure your car will last you 5 years.

If you are able to do a 7 you are still going to have to pay up your student loans as they cannot (or rarely) be discharged.

Last thought...do keep us posted on what the lawyers say.

[mathathia]

Good idea to talk to a few lawyers. Why do you have 70000 unpaid child support if your EX is getting the money? Was it supposed to go through the court?

Yes it was, but she and I got back together shortly after the court-order. Things are fine with that debt as long as she does not complain, which she wouldn't unless I did not pay at all. And I do pay her handsomely.

Some people have let the house foreclose and moved somewhere cheaper. Also I have seen some people turn the car back into the bank. Be careful though because if you are filing 13 you need to make sure your car will last you 5 years.

I am seriously thinking about the foreclosure as well now. The INSANE HOA along with 2 mortgages has just become too much. It makes me long for my small sexy apartment near the beach. I have been reading post after post in the foreclosure group and it seems enticing, but that is the last thing I need on my credit report. I guess I will see what the Attorneys say. I am not sure if they even talk about foreclosure.

I assume it is better to let a house "go" via CH7 than it is a foreclosure. I know that my mortgage is due today and I am already a month behind. I have the money to make the payment, but .....

I don't know. There just does not seem to be a easy solution. I will ponder and hope that when I do get some legal advice it is good news.

Oh yeah. I have accepting eating crow with Sallie Mae. That's just the way that goes. Thanks Bill Clinton.

Go Noles!

[chpxiii]

I don't have much advice to give, but I can tell you, if you're thinking of bankruptcy, don't worry about foreclosure. If you let the house go while in bankruptcy - which "Letting it go" will ultimately be a foreclosure, it will show up as a foreclosure on your credit reports, however, so will the bankruptcy. What ultimately happens is that future creditors will view the foreclosure and bankruptcy as one event, rather than two events. Which is a weee bit better in your favor.

So, if you let the house go to foreclosure in bankrupcty, don't worry about the foreclosure on your credit reports. The bankruptcy will already be listed and both will be viewed as one event.

[RickInMich]

mathatia, is the back child support all owed to your ex-wife? Is any of it owed to the State, i.e., was she on any State assistance after having your child/children?

If it's all owed to your ex-wife, and you and she really are on good terms, ask her to have the back child support waived. It happens all the time. If, however, any of the money is owed to the State, including any costs of the delivery of the child/children, you need to resolve that. I see guys going to jail every single week for non-payment of child support. I'm in Michigan, so I don't know what the laws may be in your state.

Good luck with everything.

[rrockinggramma]

Back in the day, I waived child support for my ex as well. I wasn't getting it anyway so what was the point. If your ex is willing, it can be done. (michigan here also)

[CindyLou]

I don't have much advice to give, but I can tell you, if you're thinking of bankruptcy, don't worry about foreclosure. If you let the house go while in bankruptcy - which "Letting it go" will ultimately be a foreclosure, it will show up as a foreclosure on your credit reports, however, so will the bankruptcy. What ultimately happens is that future creditors will view the foreclosure and bankruptcy as one event, rather than two events. Which is a weee bit better in your favor.

So, if you let the house go to foreclosure in bankrupcty, don't worry about the foreclosure on your credit reports. The bankruptcy will already be listed and both will be viewed as one event.

He would need to file chpt 7 before the foreclosure in order to keep a foreclosure off his record, which would be the best possible scenario. However, looking at the income level, I am not sure the median income for Florida is going to allow a chapter 7.

Unless you have extenuating circumstances like medical bills I don't think the means test will put you in a 7 being that far above the median. Someone chime in here if I am way off base.

Sorry to hear about your difficulties and hopefully we can lend an ear and help you out.

Cindy

[mathathia]

I am sure I could get it waived with no problems but, hypothetically, could this 70K in CS debt actually be useful when putting together the payment plan with a 13?

Question: When putting together the payment plan, what all is included? I really should know this. I guess what I am saying is if this amount would be distributed to my ex over 5 years I would sieze to pay her directly and she could collect from the CS debt. She is not concerned with this debt since she really did receive the payments, just not through the courts.

I hope this makes sense as this is probably the only reason I would file a 13. I really am not so late on my secured debt that it is not recoverable but my student loans are in shambles. I am just at an uncomfortable stalemate with my finances at the end of the month and they are not going to get significantly better anytime soon.

Credit rating is 630 which does not leave me much for refinancing my auto or my condo.

Sometimes I just wish their was a good faith lender that would cut a few a break and just refinance whole debt at a decent rate then everything would be gravy. *sigh*

Anyway - thanks for any answers. I hope I at least am staying near the moral sidewalk.

Math

[mathathia]

He would need to file chpt 7 before the foreclosure in order to keep a foreclosure off his record, which would be the best possible scenario. However, looking at the income level, I am not sure the median income for Florida is going to allow a chapter 7.

Unless you have extenuating circumstances like medical bills I don't think the means test will put you in a 7 being that far above the median. Someone chime in here if I am way off base.

Sorry to hear about your difficulties and hopefully we can lend an ear and help you out.

Cindy

Thanks for the everyone!

Maybe I should look a the mean test again. I hope I do not shame myself. I was shocked when I came out with a 3000/5yr score. This was just a quick estimate but I have some heavy hitters on there (e.g. mortgage, mandated retirement plan, CS, and of course taxes )

What I have learned the past week is this is draining and it is good to know people out there have been through this.

Math