need advice!!!

[noproblems]

I am starting to loose my mind with my financial situation. I am 34 years old and have worked my butt off since I was legally able to work. I spent my entire life building perfect credit and in the last two years I have been to forced to prioritize bills in order to survive and my credit has gone to crap. here is my situation:

670k balance on house mortgage, house is currently valued at about 500k
i have a great first mortgage that i can afford but had to dip into my equity to survive and have not been able to pay it down. I can not afford the second mortgage.

280k balance on a credit line with a previous partner that has filed. i am unable to make the payments.

260k balance on a commercial property that is teetering on forclosure. It is worth about 350k

60k balance on credit cards

2 vehicle loans, 1 small boat loan. total balance 30k

My wife and I are finally making good money again. If we were just starting out we would be doing very well but with our debt that has built up over the past couple of years there is no chance for light at the end of the tunnel.

I run my own business in a commercial property that I am partners on. The business is 7months old and is doing very well. My home life is being affected very much due to dept collectors and stress from these financial burdens. I do not know anything about bk and have always that possibility off. I need some help and suggestions on how to get out of this hole!

thanks for any info.

[noproblems]

I could realy use some advice from someone who has some experience in this type of situation

[AngelinaCatHub]

Dear ‘noproblems’:

Money problems are the highest on the short list of reasons for divorce. Be carful. First YOU must make a decision. No matter what you earn, your debt is astronomical. If an ex partner was on your card, and he bked, then the whole balance in yours.

Basically, there are two solutions: Chapter 13 which forces creditors to stop calling and you must pay them all or a portion over three to five years.

Chapter 7, where you will have to forfeit all your property up to the states minimal allowances. However it gives you a completely clean new start.

You must pass a means test to do this.

Nolo Press has two good books that can be downloaded for about $17 or so, the C7 book and a C13 book, Nolo.com

Also there are “stickies” or permanent posts that will explain a lot to you. Check them all out and you will learn that it is not to complicated to do. The hardest about bankruptcy is accepting the need and making the decision to go for it. It will actually lighten the stress load from you and your wife. ‘Hub

[ease]

I would contact an attorney. It doesn't seem like you have any choice with being underwater on your mortgage and all that credit debt.
You need to live. You need to breathe.
We are business owners and for the last 2 years wouldn't even speak of bankruptcy, even though we should have filed a long time ago. The tension around money has had us teetering on the brink of divorce.
Our attorney explained to us that bankruptcy is essential to capitalism. It was put into place so business owners would continue to take risks. Without the safety net of bankruptcy, no one would take risks. Our marriage has improved dramatically since we took the long hard look at our debt.
Remember you are in good company. Besides the wonderful folks on this forum, there are many many successful business people who have filed bankruptcy...Robert Kyosaki, Walt Disney, Donald Trump. You know the list goes on.
There is no shame.
Call an attorney.
Good luck.