hello, what to do?

[jenski]

i'm new here.

about $48K in consumer, unsecured debt.

cannot make minimum payments.

cccs needs $1900/month.

other expenses create a shortfall of $1000/month.

is bk really that bad?

i'm 54 and have never not paid my bills. it's really overwhelming right now.

[keepmine]

Bk is a busines decision-nothing more. At the end of the day, you have to act in what you perceive as your best interest.
All of us would have prefered not to file but, there sure is life post bk.
Me, I'm over 2 years post bk and my income has increased 40% {working 2 jobs} but, I've money in the bank and maxxed out retirement accounts. Post bk, you just have to fix the issues that created the bk and move forward. BTW, I'm 54 as well.

[jenski]

Bk is a busines decision-nothing more. At the end of the day, you have to act in what you perceive as your best interest.
All of us would have prefered not to file but, there sure is life post bk.
Me, I'm over 2 years post bk and my income has increased 40% {working 2 jobs} but, I've money in the bank and maxxed out retirement accounts. Post bk, you just have to fix the issues that created the bk and move forward. BTW, I'm 54 as well.

thank you.

i know i have to do what i have to do. i have a consult with a lawyer tomorrow.

[dp1969]

i'm new here.

about $48K in consumer, unsecured debt.

cannot make minimum payments.

cccs needs $1900/month.

other expenses create a shortfall of $1000/month.

is bk really that bad?

i'm 54 and have never not paid my bills. it's really overwhelming right now.

We had $60k in consumer debt, mortgage and HELOC $4500/mo and a short fall of $3000/mo. We needed to file; took us a year to decide but after we did we felt better. We, actually, have money in the bank...hasn't been like that in a LONG TIME. Of coarse, at the time of filing we only had $500 but it does feel good to have more. We never not paid either...in fact, it killed my husband to let the mortgage go. We saw the date come and go but now it's a relief for him.

BK sounds worse than it is. Remember, thousands of people in this country are falling into this category (we wouldn't be on this forum, right?) and when the economy bounces back, those banks who had refused to work on interest rates or modifications, are going to need people to finance again. More lenders (banks of all sorts) are going to have to restructure the business and lend again to people who have less than perfect credit, without outrageous interest rates or points. People will look back in a few years and realize that we were in the "less that perfect" economic time and no one with shake a finger otherwise.

Just my opinion...makes me feel better!

[Lindsay]

We are about to file. I know how it hurts to have great credit for so many years and have it all go to heck. We have a friend who filed BK three years ago. He had brand new credit cards with lower rates than mine less than a year later. He hasn't had a problem getting a car loan and is buying a new home next month! From everything I've read, although its a big hit on the credit report, most people rebuild their credit within a few years.

[Cassiopeia]

is bk really that bad?

Just to answer this part of your post:

NO, not at all. Do NOT believe all the horror stories about why BK should be avoided at all costs! For some, it is the ONLY option. BK is the best thing I ever did for myself. It is FREEDOM and a new beginning.

Good luck!

[phoenyx]

i'm new here.

about $48K in consumer, unsecured debt.

cannot make minimum payments.

cccs needs $1900/month.

other expenses create a shortfall of $1000/month.

is bk really that bad?

i'm 54 and have never not paid my bills. it's really overwhelming right now.

I'm going to pass along what my attorney said to me that convinced me to file Chapter 7. I was originally trying to avoid bankruptcy. I was under the (false) impression that it would ruin me financially for life. I was trying to negotiate new terms and settlements, and trying to figure out how to make the money back over a long period of time.

My situation is a bit different, because I have a lot more unsecured debt (250-300k) from a failed business. I qualify for Chapter 7, which I don't know about in your situation whether you would be looking at Chapter 7 or 13.

He told me to assume that over enough time that I could earn all the money back. He made me realize that I would earn that money regardless of whether I filed bankruptcy.

If I didn't file bankruptcy, like I was planning, after earning that money back I would be back to even. I wouldn't have any assets. My credit would be damaged for years until the money was paid back, and only then would the 7 year countdown start on having the debts fall off my credit report.

If I did file bankruptcy, after earning that money back, I would have a ton of savings. The 7 year countdown would start immediately on having the debts fall off my credit report.

He explained to me that a few years after bankruptcy, if people manage my credit better the second time around, they are usually elligable for mortgages at decent rates. And, any lower chance that I might have on getting the mortgage would be overcome by me better financial condition at that point. Assuming that I had earned a lot of the money back, I would then both have a good asset to liability ratio -- and the cash to make a substantial down payment on a mortgage.