What to do...

[brandon]

Recently I've speant more than i should of on credit cards. I have also recently been laid off. I now find myself with a credit card with 19k on it, 20k limit, a card with 2k on it, another with 1k and my car loan that is $735 a month.

Before i was laid off i could cover all of this no problem. Now at my new job i make the same salary but the days of recieving a 2k-3k bonus every month are over.

I find myself with about 400 left over on my first check of the month and 500 on my 2nd check. However i commute and spend about a total of $500 to $600 a month on gas.

I am currently renting a house closer to my job, but my wife and i own a condo in another county. My county taxes on my house have also just increased my mortgage payment by $80 a month.

I want to know if i can file bankruptcy on the several credit cards i have, and the car. I have a few other credit cards with zero balances that i want to keep at a zero balance and not include in the bankruptcy. If i stop making my car payment and paying on the cards, can i file bankruptcy six months from now and aviod liens being put against my home? My wife is not on the credit cards or the car. Her car is in my name and hers. Can i go buy a cheaper car now in preperation of loosing my more expensive car that I'm going to have to give back to the bank?

Right now I am paying all my bills but am very stressed out and it feels like every day the next thing that comes up is going to break me. If i stop paying everything now will a judge let me file bk in 6 months? Since I have the abilitiy to pay now just barely, does my expenditures have to actually be greater than what I'm bringing in?

What steps can i take to get rid of the overwhelming auto and credit card debt i have without loosing my home? Since my wife and I only share the home, will she be negatively effected by my bankruptcy?

One more thing i just thought of, we have student loans kicking in a few months from now that will amount to another 250 per month owed.

[lrprn]

I want to know if i can file bankruptcy on the several credit cards i have, and the car.

When you file bankruptcy, you have to include ALL your debts. You don't get to pick and choose.

I have a few other credit cards with zero balances that i want to keep at a zero balance and not include in the bankruptcy.

You don't have to list zero balance cards when you file, but 99% of the time the major credit card company finds out you filed (they share information with each other) and cancels your card. Sometimes small local businesses or retail cards like Penneys or Home Depot aren't cancelled, but even that's unusual.

You've asked a large number of specific questions that we really can't answer until you give us more information:
- What state are you in?
- Are you filing alone or jointly with your wife?
- How much gross income from all sources (including bonuses) have you made the last six calendar months?
- How much gross income from all sources has your wife made the last six months?
- Do you have children or other adults living with you? If yes, how many?
- Do you want to keep your home if you file? If you do, are your mortgage payments current?
- How many cars do you have now? How much equity do you have in each? Do you want to keep the cars if you file?
- Do you have other property or assets that you want to keep after filing?

Once you give us these answers, we can tackle your other questions.

And in case you weren't aware, student loans are *NOT* dischargeable in bankruptcy except in very rare cases of complete disability with the inability to work at all or incredible hardship if forced to repay the loans.

Right now everything seems very overwhelming, I'm sure. To learn more about how Ch 7 and Ch 13 bankruptcy work, read though these links - for Ch 7 http://www.uscourts.gov/bankruptcyco.../chapter7.html and for Ch 13 http://www.uscourts.gov/bankruptcyco...chapter13.html . You'll find out about the required Means Test and Schedules which will determine if you qualify to file Ch 7 or must file Ch 13.

Hang in there. Keep asking questions - we'll help you sort things out as best we can.

[brandon]

- What state are you in? I'm in California
- Are you filing alone or jointly with your wife? Only I am fileing.
- How much gross income from all sources (including bonuses) have you made the last six calendar months? During the last six months i was making nearly 7k a month. At my new job after being laid off I am making 4833 a month.
- How much gross income from all sources has your wife made the last six months? My wife makes 3120 per month. Her expenditures leaves her with around 250 a check left over.
- Do you have children or other adults living with you? If yes, how many? No children, for the last 4 months i was helping support a friend but he moved out when i had to start a less paying job.
- Do you want to keep your home if you file? If you do, are your mortgage payments current? I do want to keep the home, the mortgage is current.
- How many cars do you have now? How much equity do you have in each? Do you want to keep the cars if you file? 2 cars, I'm upside down 5k in one and 15k in the other one. I want to give back the one that I'm upside down 15k in. Thats why I'm considering buying a cheaper one before everything gets behind.
- Do you have other property or assets that you want to keep after filing? None.