Young and in Financial Trouble

[shawn587]

As my user name Shows I'm just twenty years old, but I believe I made enough mistakes to be thirty. Making foolish purchases, helping out family and just have the worst luck I've managed to put myself into a situation where I owe Somewhere in the vicinity of $5,000 without any means of being able to pay it back. My original home with my mother is in endanger of being lost since she's not very good with her finances either.

My aunt was kind enough to take me in, but she lives in the suburbs and there's no true way of getting back and forth to work if I did find a job. Plus, I still have student loans to worry about that are in deferrment.

I've begun to do research about debt consolidation and bankruptcy, but any input, absolutely any pertaining to how I should go about BK or what else to dow ould be much appreciated.

[325Falcon]

$5K in debt is not bad at all. Why on earth even consider BK or debt consolidation? I part time job could take care of the $5K in no time!

[shawn587]

Unless we somehow manage to get the finances to keep the apartment in NY, I'd be stuck in PA, where I can't get around since the car is always in use.

[coma]

Bankruptcy is a big decision and one that can only be made once every eight years. Is it worth it to use that solver bullet now? Just a thought...

As far as the student loans, you can get a hardship deferrment for economic hardship. it's worth looking into to get that off of your plate for a little bit.

[krielly]

The OP said he's already in deferrment.

Too small a debt as others have said to even consider filing in my opinion.

You really need to find a job. There must be some type of work you can find. I can't imagine you are that remote. Does your community have any type of carpooling program, busing, etc? Try contacting your town offices to see if there are any resources available to assist you with transportation.

Even if you did file BK, you can't remain jobless forever! At some point, you will need to find work, as you need to support yourself somehow. Get yourself a job, hon and use this goodwill from your aunt as a chance to pay off that 5K. Then work on putting some money away.

Are you still a student? If so, you may need to put off finishing school for now until you are back on track.

sorry to be the bearer of bad news.......but it would definitely be a waste of BK (which can't be filed again for 8 years) for 5K. Particularly when you have a history of poor spending habits (your words) and if you find yourself in this same situation a couple of years down the road, you won't have the protection of BK available to you.

K