BK in 4 to 6 months planning....

[completelybroke]

Well after another full day of reading up on the forums I came up with a few more questions......

I have made way too much the last 6 months due to lots of OT at work and it has now ended. Will only be getting 40 hours per week.......

Looking to plan and prepare to optimize.....

So, obviously i'll be waiting several months before filing, should I do the following to help make my numbers work...

Increase my auto insurance coverage, take out a loan against my most expensive car which i'll use to prepay mortgage and other bills...

still trying to think of other creative ways to help my numbers out..

Thanks for any and all advice.

[keepmine]

take out a loan against my most expensive car which i'll use to prepay mortgage and other bills...


Why would you want to create new debt that will survive bk. Remember, you have debts like student loans and the SS overpayment that will survive bk as well. You are not getting a complete fresh start anyway.
I'd be leary of prepayments if, you have no history of doing this. The trustee could well look at the totality of the circumstances {the code has this option} and consider the transaction abusive.
A better plan would be to sell the cars for whatever you can get and pay the debts that can't be discharged. These are priority dets and while the trustee may or may not be happy they sure can't undo them. Wait 6 months or so to file and you should be fine.
You keep thrashing around trying to get over on the system and it'll eventually blow up in your face. Debt is your enemy post bk. Elimenate as much as possible of the type you can't discharge by selling assets that aren't exempt. Having new bills post bk is not much of a fresh start when you still have old debt that survived bk.

[completelybroke]

take out a loan against my most expensive car which i'll use to prepay mortgage and other bills...


Why would you want to create new debt that will survive bk. Remember, you have debts like student loans and the SS overpayment that will survive bk as well. You are not getting a complete fresh start anyway.
I'd be leary of prepayments if, you have no history of doing this. The trustee could well look at the totality of the circumstances {the code has this option} and consider the transaction abusive.
A better plan would be to sell the cars for whatever you can get and pay the debts that can't be discharged. These are priority dets and while the trustee may or may not be happy they sure can't undo them. Wait 6 months or so to file and you should be fine.
You keep thrashing around trying to get over on the system and it'll eventually blow up in your face. Debt is your enemy post bk. Elimenate as much as possible of the type you can't discharge by selling assets that aren't exempt. Having new bills post bk is not much of a fresh start when you still have old debt that survived bk.

Yeah you make some very good points. I'll put the cars up for sale and see if they sell, if they do i'll pay down the ss and student loans.

Thanks.