New, Scared, Not sure what to do...Long Post

[mummy]

My hubby and I have been in over our heads for a few years. We met with a lawyer yesterday and she said we are prefect candidates for BK but we may not qualify for Ch.7. I am getting mixed responses. I have a friend who filed Ch.7 and says it was the best thing she ever did and a relief. I also post over on the Dave Ramsey Total Money Makeover site and the people there are saying that we should get 2nd jobs and live off rice for the next 3-4 years. But this is just not practical for us because of health problems.

We owe:
45K in unsecured credit cards.
12K on 2 cars
135K on 1st mortgage
25K on 2nd mortgage

We have a fairly good income but in order to have that income both our kids are in daycare/afterschool care and it costs about $1000 a month.

We stopped paying on our CC over 6 months ago and many have been written off. We can squeak by now if we continue to not pay those but then we cannot pay for the repairs our house needs...new roof.

The house is a $ pit and we are ok with letting it go in the BK. We owe way more than it is worth.

I just want to make sure we are doing the right thing. How bad will it be if we file? Will it be worse than now being harassed by creditors at work?

I know you can't give legal advice here, I just need some encouragement.

Thanks!

[AngelinaCat]

Welcome to the forum. Yes, the stress of filling out your forms and making sure they are correct seems an insurmountable tadk. But it IS doable, and once you do file, there is a sense of relief. For one thing, creditors cannot keep calling and harassing you.

You look like you may be a CH7 candidate. What state are you in? What about the cars? Are you going to try to keep one, both, or let them go?

[mummy]

We're in NC
We are definitely going to let 1 car go. Undecided about the other one. It will be hard to survive with only 1 car as we both work different hours and have 2 kids that go to different daycare/school.

[Mi Bankruptcy]

Don't let Dave Ramsey scare you. He was unprepared when he filed and he was unprepared and didn't know what to expect. So, now he runs around and scares people. Yes, his total money makeover is good. However, quality of life and learning from our mistakes is more important. If you don't have to eat rice and beans and work two jobs don't do it. I filed last Nov case closed this May and have not accumulated any new debts and my credit score is 633.

PLEASE make sure you visit at least 3 attorneys. This forum is awesome and it will help you through BK with people who have been there and done that.

My hubby and I have been in over our heads for a few years. We met with a lawyer yesterday and she said we are prefect candidates for BK but we may not qualify for Ch.7. I am getting mixed responses. I have a friend who filed Ch.7 and says it was the best thing she ever did and a relief. I also post over on the Dave Ramsey Total Money Makeover site and the people there are saying that we should get 2nd jobs and live off rice for the next 3-4 years. But this is just not practical for us because of health problems.

We owe:
45K in unsecured credit cards.
12K on 2 cars
135K on 1st mortgage
25K on 2nd mortgage

We have a fairly good income but in order to have that income both our kids are in daycare/afterschool care and it costs about $1000 a month.

We stopped paying on our CC over 6 months ago and many have been written off. We can squeak by now if we continue to not pay those but then we cannot pay for the repairs our house needs...new roof.

The house is a $ pit and we are ok with letting it go in the BK. We owe way more than it is worth.

I just want to make sure we are doing the right thing. How bad will it be if we file? Will it be worse than now being harassed by creditors at work?

I know you can't give legal advice here, I just need some encouragement.

Thanks!

[BNKRPTinNC]

Finding the right atty is crucial. Ours had set up a 13 that was doable and we don't have to live on "rice and beans". In fact, it has allowed us to live within our means and gotten the monkey off our back. BTW, we were able to keep three vehicles and an RV. We are finally able to save and are looking forward to be nearly debt free in the next four years. The record gathering is the most tedious but once completed and you have determined which way you are able to file it will all be downhill from there. Don't get me wrong as there will have to be adjustments made as to how you spend but look at it as a challenge and what the outcome will be when completed. Good luck as you have taken the first step in an attempt to solving your financial difficulties.