New With Question

[Badgerz]

Hi all, long time lurker, first time poster here. I'll keep this short.

My wife and I are going to meet with a lawyer on Saturday to file for BK. We moved back in August and my wife has been unable to find a job for the past six months. Things were tight before but now, on one salary, forget it. I've entirely stopped paying three bills. Two CCs and a personal loan. I make under the state median income. Our bills are a good chunk more than I make. We don't own anything. Rent an apartment. Owe more on our one vehicle than it's worth. No toys. No stocks, No savings, nothing.

Here's my question. Let's say we go in on Saturday and get everything started. Let's say a week or two later my wife finally gets a job offer. Will we be screwed as far as the BK?

All opinions gratefully accepted. Thanks.

[SinkingFast]

I haven't done the process yet, but we are learning and getting prepared. We're in the same position. I had thought to return to work. But what implications would that have on filing BK.

If you go Ch 7, you may be in the clear after you're discharged and closed.

If you file for Ch 13, a significant change in income would have to be reported to the Trustee. Your payments in the plan would be adjusted accordingly as well.

From what I've read, from the time you file, at least thru your 341 meeting, you want no changes in status. Better to wait until your case is discharged and closed. Even at that, the Trustee can come back on you for 180 days in Ch 7, and the entire term of your payment play in Ch 13. Especially if the change in income in excess of 10%.

Another poster is facing the same decision. Filed Ch 7, discharged, and needs a second job to buy a car. Here's her thread. You can get info from the replies:

http://www.bankruptcyforum.com/t5972...discharge.html

Just FYI,.......... A visit to an attny does not mean you are filing. If you retain the attny, you are simply starting the application process, which can take 30-45 days to proceed to the actual petition.

[StaciMM]

If your wife gets a job offer before filing, then that will most likely have an impact on your bankruptcy. Its your call to make-but I've seen plenty of people post that their attorneys advised them NOT to seek employment until after filing, or better yet-after the 341. If she is interviewing now, even if she gets a job in 6 weeks it could be argued that it was from something that started before filing and therefore significant for your case. I don't know that WOULD happen-but its worth considering the possibilities.

[StaciMM]

About a case being reopened after discharge... Unless there was fraud (such as misinformation on the petition) then the only things that would change would be assets. Things you owned or were entitled to as of the time you filed. Income after the fact can't put you into a 13 after you've already received a discharge.

The key thing to ponder is whether or not the employment (or possible employment) could be considered part of the pre-bK situation. If interviewing before filing, that is possibly so. If starting the process of looking for a job happens CLEARLY after filing then it is not an issue.

[Badgerz]

Thanks for the replies. She's been sending resumes out all the time. She hasn't had any interviews or anything. Right now her best bet is going to be for something temporary. I suppose that may play into it as well. If she were to get a temp position chances are we couldn't rely on it for long term income obviously.

[SinkingFast]

This is a issue that was important for us to learn about as well. I was looking at going back to work. Decided to wait until the BK process was firmly under way.

One attny told us that if we got Ch 13, our payments would probably have to adjusted to account for the additional income. Another attny said we would be liable for "windfalls" for up to 6 months after Ch 7. I specifically asked about the employment issue. Depending on the pay of the job, ie inceases filers' income 10% or more, a Trustee/Judge could consider it a windfall. Not likely after discharge and close of a Ch 7, but it could happen. The Court will def go after inheritances and such, insurance policies, lotto winnings, etc., in that time frame.

[AAAArt]

Hi all, long time lurker, first time poster here. I'll keep this short.

Badgerz, I am very sorry to inform you that we are too busy with bk's celebration and running up his cc bills (while still owing someone on the list) to accept any new posters at this time. Art

Seriously, I know your concern and it is wise to "plan" your Bk. Don't lie or manipulate, but do plan. To me, that means that you should file ASAP, and let your wife get a job after you file...even if it's temping.
If she's still doing the temp bit at the time of the 341...should be back down to around 30 days from date of filing again, then just say that and that you don't know how long it will last.
Best wishes. We've all been there and know how tense, nerve-wracking and painful. Assk any questions at any time. (I'll get Sunshine to lock bkfiler in his room if he gets out of line) Art

[bkfiler]

Hi all, long time lurker, first time poster here. I'll keep this short.

My wife and I are going to meet with a lawyer on Saturday to file for BK. We moved back in August and my wife has been unable to find a job for the past six months. Things were tight before but now, on one salary, forget it. I've entirely stopped paying three bills. Two CCs and a personal loan. I make under the state median income. Our bills are a good chunk more than I make. We don't own anything. Rent an apartment. Owe more on our one vehicle than it's worth. No toys. No stocks, No savings, nothing.

Here's my question. Let's say we go in on Saturday and get everything started. Let's say a week or two later my wife finally gets a job offer. Will we be screwed as far as the BK?

All opinions gratefully accepted. Thanks.

the answer is yes. you could end up being screwed. you cant go to the 341 meeting making more money. when the trutee asked if naything changed you are going to have to explain the situation. and then redo your forms and you will then have more money to file a chapter 13.

i wouldnt do that if i was you.

wait until after the 341 at least in 30+ days after you file. one thing about the new laws may save you though. they have to take the avereage for the last 6 months i guess. maybe that help you out of the problem a bit.

[FilingOnMyOwn]

Hi all, long time lurker, first time poster here. I'll keep this short.

My wife and I are going to meet with a lawyer on Saturday to file for BK. We moved back in August and my wife has been unable to find a job for the past six months. Things were tight before but now, on one salary, forget it. I've entirely stopped paying three bills. Two CCs and a personal loan. I make under the state median income. Our bills are a good chunk more than I make. We don't own anything. Rent an apartment. Owe more on our one vehicle than it's worth. No toys. No stocks, No savings, nothing.

Here's my question. Let's say we go in on Saturday and get everything started. Let's say a week or two later my wife finally gets a job offer. Will we be screwed as far as the BK?

All opinions gratefully accepted. Thanks.

If you can do a no asset chap 7, then I would think its reasonably safe for her to work after the 341.

[sunshine08]

I agree about the planning of the bankruptcy, so to speak. This could have a significant impact on the case. You may be below the median income now but her potential income will come into play. You also have "Tax" season to, maybe it can be exempted. With the new laws, Iwouldn't take the chance.
One of the first rules on bankruptcy is to have patience.......

[robivi3]

Getting a job right now like everyone says, not good if you really plan to file. File first, get past the 341, past objections deadline and then work if you guys can hold out.

[Badgerz]

Thanks for the feedback all. Tough time ahead I'm sure. Like I said my wife has been job hunting for the last six months. We have an initial appointment with our lawyer this Saturday. With our luck she'll get a nice job offer on Monday and have to turn it down. That won't be easy to say the least but you gotta do what you gotta do. I just want these debts gone. I've more than paid them back I'm sure.

[bkfiler]

dont go to the interview if you cant take the job.

[Badgerz]

Well of course not. I'm just saying hypothetically, with our luck, we'll start the BK process and one of the places she has applied to will finally call and she'll have to refuse an interview.

[bkfiler]

just tell them "thanks but i cant take the job, i have to file bankruptcy."

see what they say lol.

you know, there is something funny about that hahaha