341 Meeting--Not a good experience

[IOIOIO]

Reading some Bk info somewhere, depending on which Bk you are filing, believe it or not, there are limits to the amounts.

What?! Please give details.

[SinkingFast]

I think this is what CMIYC is talking about:

(e) Only an individual with regular income that owes, on the date
of the filing of the petition, noncontingent, liquidated, unsecured
debts of less than $250,000 and noncontingent, liquidated, secured
debts of less than $750,000, or an individual with regular income
and such individual's spouse, except a stockbroker or a commodity
broker, that owe, on the date of the filing of the petition,
noncontingent, liquidated, unsecured debts that aggregate less than
$250,000 and noncontingent, liquidated, secured debts of less than
$750,000 may be a debtor under chapter 13 of this title.

http://caselaw.lp.findlaw.com/caseco...ction_109.html

[IOIOIO]

Thanks. Do you know the limit for ch7?

[SinkingFast]

To my knowledge, there's no debt limits stated for Ch 7.

Generally, if all of your debts are dischargeable, a Chapter 7 would be advisable. However, if your financial situation is clouded by rent or mortgage arrears, tax debts, student loans or substantial non-exempt assets, a Chapter 13 may be advisable.

http://www.abcny.org/Publications/bankrupt.htm

A Chapter 13 adjustment of debts enables an individual with regular income to propose in good faith to pay all or part of his or her debts from future income over a period of time. If the court approves the plan of payment, the debts may be settled in this manner, even if the creditors are not willing to go along with the plan. If the individual makes the payments as required, he or she will not have to surrender his or her property. Unsecured debts may not exceed $307,675, generally, with a maximum of $922,975 for secured debt obligated.

http://www.floridabar.org/tfb/TFBCon...f?OpenDocument

But I have to wonder if the allowable debt limits set for Ch 13 are applicable to Ch 7.

[IOIOIO]

But I have to wonder if the allowable debt limits set for Ch 13 are applicable to Ch 7.

Yeah, me too. For example, once my cc's are in default, won't the debts continue to grow indefinitely due to the endlessly accruing finance charges? I couldn't let this go on forever if I intended to file ch7 at some point.

[Bobby'sGirl]

All mine were charged off at 180 days

Or 6 months and then picked up by debt collectors. No interest has accrued since that charge off. The debt is no longer on the original credit cards' books as accounts receivable.

[SinkingFast]

Yeah, me too. For example, once my cc's are in default, won't the debts continue to grow indefinitely due to the endlessly accruing finance charges? I couldn't let this go on forever if I intended to file ch7 at some point.

Or 6 months and then picked up by debt collectors. No interest has accrued since that charge off. The debt is no longer on the original credit cards' books as accounts receivable.

None of ours got to Charge Off status prior to us actually filing. In 9 months of missed payments, interest, penalties, and fees added $25K to our total CC debt.

[IOIOIO]

None of ours got to Charge Off status prior to us actually filing. In 9 months of missed payments, interest, penalties, and fees added $25K to our total CC debt.

uh oh...

[mon26]

2 wks.after 341 trustee wants more income info

Reading some Bk info somewhere, depending on which Bk you are filing, believe it or not, there are limits to the amounts.

Catchmeifyoucan

We qualified for 7 according to means test, but now he wants proof of all our income. Will be dismissed Oct. 30th, 06 if problems are not worked out.The letter used the term bankruptcy fraud.

Anyone know what that means.

[SinkingFast]

Welcome to the Forum, Mon26!!

Maybe start a new thread and tell us what's happening in your case. Maybe with a few more details, folks can give you some help.

[aa06a47]

There is no debt limit for filing bankruptcy, just certain amounts of debts may throw you into a different chapter of bankruptcy. For example, you may not be able to file chapter 13, but you may be forced into filing a much more expensive chapter 11.

[IOIOIO]

There is no debt limit for filing bankruptcy, just certain amounts of debts may throw you into a different chapter of bankruptcy.

Any idea of the threshold for Chapter 7?

[InLimbo]

wow, 30 mins huh..I can only imagine how stressful this is on you right now.
I am so sorry you are having to go thru this. Im sure the others are right and they only need more documentation. What you are experiencing now is my biggest fear when we go for our 341 also. Our lawyer says ours is the easy case that day for him but I'm so afraid it won't be and we will be the ones singled out Hang in there, relax and lets think positive Everything will be A OKAY! Saying a special prayer for you won't hurt either

[aa06a47]

Any idea of the threshold for Chapter 7?

I don't believe a chapter 7 has a limit. Chapter 7 is a complete liquidation.