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Could use some advise..sorry for the length

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    Could use some advise..sorry for the length

    I had my first consultation with an attorney on friday. She seemed very imformative and is expecting in March. She instructed me that we need to get my initial set of paper work in by the end of January in order for her to continue the case or it will be passed on to one of the others in her office. Based on what i have read on this board i should be consuting with a few attorneys to see who gives me the "best feeling"? I just dont know how much time we have..

    A little background: We have 60,000 in CC debt. My mortgage company was supposidly setting us up on a loan modification since 2009. They had been insturcting me to make minimal payment. They have stopped accepting payments since nov. of 2011. I have spoke with them and they suggest i ignore the letter i received from their attorney about making the 19000.00 "catch up" amount and resubmit my documents again for loan modification. We have a 2nd mortgage which went was apporved for modifcation and is now current. I stopped paying some credit cards about a year ago to be able to keep paying the mimimal payments on the mortgage as well as utilities and dr. bills. we have 4 cars (both of the girls in college each take their cars with them to school, but all of them are in my name). NOne of the cars are new, 2001 is the newest and all have high milage.

    Both my husband and myself have side jobs, mine does not give a definate income, based on sales, so it is very difficult to say how much i will make monthly.

    Several reasons we got into this delimma: Husband became ill in 2008 with pnemonia and a collpsed lung and was out of work for almost 6 months. At theat same point due to the economic downturn my business was forced to close.

    We took out a loan on our 401K (big big mistake) in 2010 to help with some of the bills. We have 2 daughters in college, who are pretty much paying their own way thru. I pay for a few of their books and their deposit for board.

    I have been told by several people to stop payming the rest of the credit card bills and start stocking up on groceries, clothing etc. They also said to catch up on dr visits, contacts, glasses etc.

    The attorney said our payment would be about 550.00 plus our normal mortgage payment of 1261.00. Her fee is 1400.00 to file.

    I appolagize for the length of this message, im just looking for any guidance in these merky waters!

    #2
    Ummmm, anyone....

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      #3
      I have been told by several people to stop payming the rest of the credit card bills and start stocking up on groceries, clothing etc. They also said to catch up on dr visits, contacts, glasses etc.

      The advice you received is pretty standard. If bk is the endgame stop paying all debt you wish to disharge and bank those payments. If you have cash beyond what your state exempts spend it down with necesssary purchases like health care, vechicle maintence, etc.
      Only other thing I'd add is, the home worth saving. If you're upside down by a signficant amount and/or, the mortgage payments are a stretch then you probably have something you can't afford and ought to let that go as well.
      BK is about a fresh start. You want to exit bk in far better shape than you entered.

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