CCCS Filing Questions

[Anon2k9]

Me and the wife are planning on going and talking to a CCCS sometime in the next several months-- we have to decide on whether to do it before or after the baby arrives.

What is that they typically ask for? I spoke with a agent on the phone and she says it various case by case, but I figure there's an average experience that might give us a ideal of what we can start getting together now. What sort of income/bank paperwork, type of info we'll need on or from our creditors. Based on experience, what can we except payment wise-- percentage, monthly, what have you.

Thanks..

[lindsay2181]

I signed up for the debt management program at their local office about 2.5 years ago. I brought in all my cc statements, and a rough estimate on paper of our monthly expenses--rent, electricity, insurance, etc. They asked the basic questions about our spending habits, income, etc. I filled out the application there in the office, it was approve almost immediately. Was sent home with an info packet containing workbooks, a cd, etc on how to get out of debt and stay that way......unfortunately the program did not work out for us. We paid our $349 faithfully every month to be disbursed to the creditors....and then fell behind and eventually were dropped from the program and now we are right back where we started. I wished I'd gone BK instead of going to them, I feel like we could have really used that $349/month for 2 years for something else.......b/c the little bit that got paid off on our cards was all tacked back on in interest and fees after. So it didn't really make a dent in the amount we owe......kinda depressing!

[Anon2k9]

Interesting.

See we were told that before we could file, we'd have to go through one of these programs to show "good faith" in trying to payback our debts. So $349 a month, I wonder how that would compare to a Chapter 13.

[StartingOver08]

Interesting.

See we were told that before we could file, we'd have to go through one of these programs to show "good faith" in trying to payback our debts. So $349 a month, I wonder how that would compare to a Chapter 13.

Sounds like the person that told you this was either missinformed OR has something to gain by you going thru CCCS. Were they by chance an employee of CCCS?

You do have to have a credit counseling certificate from an approved agency before you file and CCCS is one of the approved agencies in most areas, BUT you do NOT have to go through the program to show good faith. To get the certificate it is one class, about two hours long that you can take on line from any approved agency. The list of approved credit couseling agencies is on the US Trustee website for your state. http://www.ftc.gov/opa/2005/10/bankruptcy.shtm also look here http://www.justice.gov/ust/eo/bapcpa...er_AlertCC.pdf

Here is an article about doing it online:

[Anon2k9]

Sounds like the person that told you this was either missinformed OR has something to gain by you going thru CCCS. Were they by chance an employee of CCCS?

You do have to have a credit counseling certificate from an approved agency before you file and CCCS is one of the approved agencies in most areas, BUT you do NOT have to go through the program to show good faith. To get the certificate it is one class, about two hours long that you can take on line from any approved agency. The list of approved credit couseling agencies is on the US Trustee website for your state. http://www.ftc.gov/opa/2005/10/bankruptcy.shtm also look here http://www.justice.gov/ust/eo/bapcpa...er_AlertCC.pdf

Here is an article about doing it online: http://www./2007/11/06/credit-counse...-leaving-home/

We actually were told this by a BK attorney we spoke with about what options we had without filing Ch. 7 again-- which we can't do till '011. She said that the law required that you had to go through a DMP for at least 6 months to show that you were attempting to pay your debt.

[StartingOver08]

If that was the actual attorney and not the paralegal, I would RUN AWAY FROM THAT ATTORNEY!!!

Continue to research here for information and interview several professional BK attorney's in your area. Since BK is big business now there are new attorney's that jump in to take advantage of the current market without having the experience. We have found that there are good BK attorney's and bad one's...just like every profession. Thank goodness this one tipped her hand before you used her.

[Anon2k9]

We were going to use the one that did our last filing in '03, but-- to be honest-- we're to embarassed to go back to him. This one we talked to was through service that the wife's employer offers for legal assistance in civil matters. Supposedly, at least she said we were, we were speaking with the attorney and not a para.

[lrprn]

This one we talked to was through service that the wife's employer offers for legal assistance in civil matters. Supposedly, at least she said we were, we were speaking with the attorney and not a para.

Well, everyone here has already told you the truth - this person - whoever it is - has no earthly clue about what's required to file bankruptcy after filing one already. The only things that impact filing bk again after filing once before is how much time has passed since the last bk was filed and which chapter you hope to file. This is *NO* requirement to show six months of trying to do anything!

Frankly we've had many members (hubby and myself included) who have used very reliable DMP programs, and the vast majority of us felt it was a complete waste of our time and money. For example, we paid our CCCS DMP $700/month for 8 months, and after paying them $5,600 saw a whopping $900 improvement in our debt levels. We threw them to the curb and ended up filing anyway.

Why are you going the DMP route rather than seriosly investigating bankruptcy? DMPs help very few people who have serious debt. The advantages of bankruptcy over DMP are many - for example, your creditors have no choice but to cooperate with a bankruptcy filing. With a DMP, their cooperation is purely voluntary - and many creditors refuse to cooperate. You may have to deal with tax issues for any debt forgiven as a part of a DMP - this does *not* happen in bk. And in case you didn't realize this, the hit on your credit scores by using a DMP is almost as bad as filing.

IMHO, if you can't get completely out of debt in five years using a DMP, then it's really a waste of your time and hard-earned dollars.

[Anon2k9]

We were trying/are trying to keep from filing a Bankruptcy again;partly cause we can't a Ch. 7 again till 2011, and partly cause we're worried if we get in a Ch. 13 and the wife's employer lays her off and assuming I still get a job, what would happen. Plus, largely, just embarrassment that we didn't plan things a little better, put more money back when it we had more lee-way.

[StartingOver08]

There is nothing wrong with filing a Ch 13 if that is what you need to get back on your feet again. If your wife's employer lays her off, you can convert to a Ch 7 if the circumstances warrant the change. Look here in the threads for conversion to get a better idea.

Don't be embarrassed about filing BK again...this is a business decision. Things happen. This time you will be much more prepared and ready to take advantage of your fresh start. You don't have to wait the 8 yrs from your last filing to file a Ch 13. You already qualify for a 13 after 4 yrs from your last BK. Look for a good, experienced attorney to help you with this decision. Good luck!