Please Help Loosing Sleep!

[gnatsum39]

Ok I am considering Ch7 BankRuptcy for 1 reason. I live at home with my parents and they need me to move out so I have to rent an apartment and with my current financial situation that is impossible. So here are the stats first then the questions.
$2000.00 a month income after taxes.
$19-20,000.00 in credit card/personal loans. (Roughly $700.00 a month in payments)
$260.00 Motorcycle payment
$640.00 Car Payment
$225.00 Insurance payment.
$50.00 Cell Phone
Grand total monthly payments = $1875.00
As you can see not much left for rent let alone utilities, food, and gas.
I have tied a credit counseling firm and all that did was increase my monthly payments and the balances have yet to go down if anything they have gone up.
Now the Questions.
1. If I file Chp7 will they disalow or convert it to chp13 cause I don't have rent at the moment even though that would be the whole point of me filing chp7 so I can afford to pay rent.
2. If I file and they want to convert it to Chp13 can I retract my filing?
3. Do the trustees actually come to your house? I am scared they will cause I have no assest to list and I am worried that they will think I am hiding them. I don't even have furniture I am using all my parents stuff in their spare bedroom.
4. If I choose to reafirm my car loan can the credit union deny me and take my car even though I want to reafirm? payments are current.

I live in Washington State if that helps. Thanks in advance for the help, I am so worried about all this and I am losing sleep.
Brian

[HHM]

Well, you hgave at least 2 assets to list, your car and motorcycle, and there is probably not an exemption that will allow you to keep both. Sometimes the trustee will send someone to inspect property, its not common but it can happen.

[gnatsum39]

Are they still assets?

Both car and motorcycle have loans that are upside down(no equity) are they still assets? I thought an asset was an item that no money was owed on and it was not security on a loan. Still wondering if I need to go rent an apartment now since I have no rent to show.

[HHM]

An asset, for BK purposes, is unrelated to the value or the liens on the property. An asset is anyting for which you have ANY type of property interest. You OWN the motorcycle and car subject to the lien of the bank who financed your purchase.

[HRx]

Your DTI ratio is in bad shape, based on the information you provided a Chp 7 would be the most appropriate course of action. You should seriously consider selling your motorcycle, and car! And get yourself a car that doesnt cost more than $16,000.

-Todd

[Dawn1970]

Perhaps you should go ahead and try to rent yourself a place to stay because it's not quite as easy to do when you're in bankruptcy. If you find yourself a rental place, then go ahead and default on everything else for a few months, then you should be able to afford to move out and get your utilities turned on and get started at your new place. Then you won't have to worry about "Who's going to want to rent to me now that I'm in bankruptcy".

[gnatsum39]

Thanks.

Thanks for the advice. I know I am a mess financialy and I really am embarresed to be so far in debt and living with parents at 27years old. I hope that Chp7 will work I made an appt. with an attorney for the 14th so I hope he can help me. I feel so bad about screwing the creditors like this but really don't know what else to do. Thanks again hopefully I will sleep better soon. :o

[gnatsum39]

Thanks for advice

Thanks for the advice I am filing Tomorrow and I went and got a new apartment today. I hope this all goes well. Again thanks and I am sure I will have a few more questions throughout the process and I know this forum will have great advice to offer.
Thanks
Brian

[rberhow]

Congratulations Brian for taking control of your financial future. Good luck!!!