Filing Timing

[roger_221]

Is there any benefit to waiting to file? I just finished all the paperwork and was going to hand it over to the atty tomorrow.

I did a 4,000 cash advance on a CC a couple of weeks ago but this was when I was trying to pay all of the other CC's and didn't think I was going to file. What will happen?

Should I try and reduce my expenses now or wait? For example, I have a truck I lease. The lease will end in Feb. My pmts are 360 a month. However, my parents gave me one of their cars. I could sell the truck and drive the car but wouldn't they just want the addt'l 360/month?

How often do you have to file a restatement of expenses/income? For example, if I have cable today and drop it after I file - this would reduce my monthly expense. Or, if I get a Christmas bonus - I'm assuming I'll have to report that?

I make a lot but I owe a lot. Plus my expenses have been leaving me in the whole every month. Have any of you - even though you made over the median - able to file for Ch. 7 after a means test?

Also, if you fall behind on a payment, can a relative make it for you?

[HHM]

For chapter 13's, timing isn't too important.

[lrprn]

Is there any benefit to waiting to file? I just finished all the paperwork and was going to hand it over to the atty tomorrow.

There could be benefit delaying your filing depending on your financial circumstances, debt, and income.

I did a 4,000 cash advance on a CC a couple of weeks ago but this was when I was trying to pay all of the other CC's and didn't think I was going to file. What will happen?

If you file within 70 days of the cash advance, this creditor could say that you took the money knowing you were going to file. Unless you can prove otherwise in court (unlikely), the creditor could file to lift the stay on that debt and say that you still owe it.

Should I try and reduce my expenses now or wait?

Depends on how you are coming out on the required Means Test and Schedules.

How often do you have to file a restatement of expenses/income? For example, if I have cable today and drop it after I file - this would reduce my monthly expense. Or, if I get a Christmas bonus - I'm assuming I'll have to report that?

When you file for Ch 7, you have created a bankruptcy estate on the day you file. Anything that happens after that doesn't matter to the trustee. However, if you file Ch 13, you also create a bankruptcy estate the day you file, but depending on the customs of your bk court and what your trustee tells you he/she wants you to report, often if there are major changes in income (a raise of 10%, for example), tax refunds over a certain amount, windfalls, etc - well then you have to report those. In Ch 13 your trustee controls your finances for the complete term of the Ch 13. You can't sell an asset without his/her permission.

I make a lot but I owe a lot. Plus my expenses have been leaving me in the whole every month. Have any of you - even though you made over the median - able to file for Ch. 7 after a means test?

It can be done, but it is very unusual. Trustees look at high income filers VERY closely. You would have to have a very high secured debt load to overcome a high income, especially with the updated bk filing forms.

Also, if you fall behind on a payment, can a relative make it for you?

If you are allowed to send in your own monthly trustee payment by money order or personal check, then II suppose a relative could. However, most trustees only allow payment through automatic paycheck withdrawals set up through your employer. I don't see how a relative could help you out in that case.

[roger_221]

If you file within 70 days of the cash advance, this creditor could say that you took the money knowing you were going to file. Unless you can prove otherwise in court (unlikely), the creditor could file to lift the stay on that debt and say that you still owe it.

If you are allowed to send in your own monthly trustee payment by money order or personal check, then II suppose a relative could. However, most trustees only allow payment through automatic paycheck withdrawals set up through your employer. I don't see how a relative could help you out in that case.

How likely is #1 above to happen?
If a relative gives you money to pay a bill or pays a bill for you, how is that handled? Or, what if they decide to send you some money to help you out?

[HHM]

How likely is #1 above to happen?
If a relative gives you money to pay a bill or pays a bill for you, how is that handled? Or, what if they decide to send you some money to help you out?

You posted in the chapter 13 section, do you know you need to file a chapter 13. The 70/90 day rule is largely irrelevant in the chapter 13 context...worst case scenario, the debt becomes a priority debt in the chapter 13 and hast to paid through the chapter 13 plan. The 70/90 day rule stuff is mostly an issue in chapter 7's.

[SinkingFast]

The main thing you wanna think about is things you might need to accomplish before you have a Trustee administering your affairs.

Like maybe you need some repairs done around the house that you've let slide because you've been paying CC's bills. Or doctor's visits. Or dentist's visits. Necessities types of things. Clothes. Stock up the pantry to tide you over for a while.

Once you file, all your disposable income is gonna go to your Ch 13 Plan. So you might quit paying the monthly CC's payments and take care of some things that need doing.