young and stupid... now i'm in trouble. seeking advice

[deeptrouble]

Yes, the lawyer you consulted is probably right. If you pay back this much, it very well could be considered a preferential payment by your trustee if you pay it within six months of filing. It won't hurt you - all the trustee will do is force your ex-employer to give all the money back to distribute to all your creditors.

If your goal is to maintain a good relationship with your ex-employer in the future, after your Ch 7 closes, you can pay back whoever you want. You could have a straightforward conversation with them before you file explaining why you can't pay them back now and have a hand-shake gentleman's agreement (nothing on paper) that you will pay the amount you owe them back after your case closes. Then do it. That can likely salvage that relationship for you. Just a thought....

thanks lrprn... i have no idea what to do

[JRScott]

Well I'm glad you discovered this before doing anything more. Never had anyone pay me after I quit, I guess that was kinda lucky.

You say you use your former supervisor and another person from this work as references still. Do you have other references that you can use?

I think lrprn's idea is probably the only one you can take. You'll still have to list the debt in your schedules, but if you talk to the guys and let them know you will pay them back but you can't pay anything until after you close hopefully they'll work with you. Make sure not to sign anything because if you do and it gets back to the Trustee it can interfere with your bankruptcy.

This lawyer has well advised you about the preferential nature of this debt. Sounds like he's giving you good advice.

Still praying for you DT.