My husband and I just filed BK. I'll try to make this as short as possible... we started a business producing printed material and selling them to retailers. Started business at the end of 2003...2 years ago. We were going along fine..barely paying all the bills..BUT paying them..slowly getting ahead.
OK..then this company placed a big order with us, which we thought was going to be a big BOOST to our business. Unfortunetely we did not sign a contract with this company..and printed there order without one....the company only took 1/3 of the product and did pay for that 1/3...saying they would take the remaining part of the order over next 1 to 3 months and pay upon delivery.....THEY NEVER TOOK IT!!
The product is time-sensitive and can't be sold for much after November 2005...so we were stuck with PRODUCT (which we can't sell, due to it being out of date material)..we are stuck with the DEBT to pay it..which is 30,000.00
We owe the printer 30,000.00 for the printing, so the printer will not print for us anymore until debt is satisfied. We don't have the money to hire a different printer to print the updated 2006 product and continue the business....up till now, we had established credit with the printer...picked up the product and paid for it after it was sold...usually 30 to 60 days after pick-up. They won't extend us credit now...due to late payment of 30,000.00. So our business is history...no way to print..no way to have product...no way to make money.
So we filed BK...with about 10,000.00 in CC DEBT..and 30,000 PRINTING DEBT...7,000.00 in computer equipment debt...and 20,000.00 in past medical bills from 3 years ago...along with about 500.00 in other unsecured items.
We also have ONE LOAN..that is secured by 2 vehicles..and 2 other pieces of property...Property Value is approx...$30,000.00 and the LOAN PAYOFF IS APPROX. 55,000.00 The bank we have this loan thru is willing to reaffirm it and let us keep property. Reaffirm for 3 years at $1800 a month. This would be a payment we could handle because my husband will go back to work..and his trade pays around $3600 net per month.
We filed Pro Se under CHAPTER 7 before new rule....it is pretty cut in dry because the only property we have secured is thru ONE LOAN at the same bank we have our checking account and it is a small home town bank, who has know us sense we were little and are willing to re-affirm under terms we can live with.
WHAT IS THE TRUSTEE GOING TO BE LOOKING FOR?
We don't own any real property..I mean we listed our two collector items valued at about $800, our jewelry which is only our wedding jewelry...our accounts receivable which was only $1600 at the time of filing...personal clothing...but looking at it on paper..it doesn't add up to MUCH OF NOTHING..We only own a 13" TV..We both got divorced from our previous spouses 3 1/2 years ago..and started from scatch with nothing..and haven't really purchased anything..lived on the road putting the business together and stayed with relatives when we were home, so we don't even own a COUCH...
I have never filed bankruptcy before and am scared to death of what is coming or what they look for...I mean, can they say...you spent to much money "eating out" or "going to the movies" I don't know...I guess putting all this on paper and looking at your expenses you see where you could have cut corners and pinched and MAYBE...JUST MAYBE MADE IT....
Does anyone know what we can expect to hear from the trustee and the credit card creditors and medical bill creditors? Does the trustee and / or creditors make it a living HE** by requesting detailed statements other than your tax returns etc...in order to try and make our debt not discharged?
Will our checking account be ok...sense the account if with a creditor willing to re-affirm there loan. Can we still work out of this checking account to pay like phone bills, grocery's, gas, etc....
What if we receive payment from any of our accounts receivable after we file...do we inform trustee or what? If my husband gets a job after the filing..do we report it..if so how?
Any advise or experience would be greatly appreciated.
OK..then this company placed a big order with us, which we thought was going to be a big BOOST to our business. Unfortunetely we did not sign a contract with this company..and printed there order without one....the company only took 1/3 of the product and did pay for that 1/3...saying they would take the remaining part of the order over next 1 to 3 months and pay upon delivery.....THEY NEVER TOOK IT!!
The product is time-sensitive and can't be sold for much after November 2005...so we were stuck with PRODUCT (which we can't sell, due to it being out of date material)..we are stuck with the DEBT to pay it..which is 30,000.00
We owe the printer 30,000.00 for the printing, so the printer will not print for us anymore until debt is satisfied. We don't have the money to hire a different printer to print the updated 2006 product and continue the business....up till now, we had established credit with the printer...picked up the product and paid for it after it was sold...usually 30 to 60 days after pick-up. They won't extend us credit now...due to late payment of 30,000.00. So our business is history...no way to print..no way to have product...no way to make money.
So we filed BK...with about 10,000.00 in CC DEBT..and 30,000 PRINTING DEBT...7,000.00 in computer equipment debt...and 20,000.00 in past medical bills from 3 years ago...along with about 500.00 in other unsecured items.
We also have ONE LOAN..that is secured by 2 vehicles..and 2 other pieces of property...Property Value is approx...$30,000.00 and the LOAN PAYOFF IS APPROX. 55,000.00 The bank we have this loan thru is willing to reaffirm it and let us keep property. Reaffirm for 3 years at $1800 a month. This would be a payment we could handle because my husband will go back to work..and his trade pays around $3600 net per month.
We filed Pro Se under CHAPTER 7 before new rule....it is pretty cut in dry because the only property we have secured is thru ONE LOAN at the same bank we have our checking account and it is a small home town bank, who has know us sense we were little and are willing to re-affirm under terms we can live with.
WHAT IS THE TRUSTEE GOING TO BE LOOKING FOR?
We don't own any real property..I mean we listed our two collector items valued at about $800, our jewelry which is only our wedding jewelry...our accounts receivable which was only $1600 at the time of filing...personal clothing...but looking at it on paper..it doesn't add up to MUCH OF NOTHING..We only own a 13" TV..We both got divorced from our previous spouses 3 1/2 years ago..and started from scatch with nothing..and haven't really purchased anything..lived on the road putting the business together and stayed with relatives when we were home, so we don't even own a COUCH...
I have never filed bankruptcy before and am scared to death of what is coming or what they look for...I mean, can they say...you spent to much money "eating out" or "going to the movies" I don't know...I guess putting all this on paper and looking at your expenses you see where you could have cut corners and pinched and MAYBE...JUST MAYBE MADE IT....
Does anyone know what we can expect to hear from the trustee and the credit card creditors and medical bill creditors? Does the trustee and / or creditors make it a living HE** by requesting detailed statements other than your tax returns etc...in order to try and make our debt not discharged?
Will our checking account be ok...sense the account if with a creditor willing to re-affirm there loan. Can we still work out of this checking account to pay like phone bills, grocery's, gas, etc....
What if we receive payment from any of our accounts receivable after we file...do we inform trustee or what? If my husband gets a job after the filing..do we report it..if so how?
Any advise or experience would be greatly appreciated.
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