Filing Bankruptcy, here is my situation, please advise

[bankruptsaluki]

Hello,

I am meeting with a lawyer on Saturday regarding filing for Bankruptcy. My only consideration is filing Chapter 7 as I would not want to file Chapter 13. I would like to give my situation to all of you and let people throw there opinion my way and I would like to make sure I cover all angles.

I have about 15k in credit card debt. Out of the cards, 1 is open, 3 are closed, but still at the CC company, one is at a collection agency, and one is at a collection law firm.

I am single, have ZERO assets, zero dependents and currently take home $2400 every two paychecks. The thing is that I technically employe myself as a temp so I am considered a vendor. This job ends in October thus making me unemployed again. My checking account bank statement has alot of gambling deposits on it (currently getting help for that situation)

Should I have a problem filing for Chapter 7, I have noticed that you have to qualify for this....Also, is there anything I should make sure to ask my lawyer on Saturday?

Thank you very much in advance for all your help, appreciate it greatly.

BankruptSaluki

[herekitty]

All those questions are good ones to ask your lawyer. Gambling debt sucks, and I'm not really sure how to answer that - I think it would help to show that you are currently getting help for your addiction.

I get that your job varies - they are going to look at your income as an average. How much have you made this year? That's going to be a big factor in when you need to file, especially if you're looking at CH 7.

Read through these boards, they'll bring up a lot of questions and write them down! I made a big mistake by not doing that! don't let your lawyer say "Don't worry, I'll take care of it" - I did and that's been the biggest mistake of all! He would never tell me exactly how he would take care of it and now he is making me extremely nervous!

[bankruptsaluki]

Thank you very much for your time, I appreciate your effort greatly, anymore insight would be great

[Minnymouth]

Consult with 2 attorneys, (free) and see what each says your options are..... then make a choice.
You should be comfortable with your lawyer....
If you have too much disposable income you will be required to file a 13....

Minny

[bankruptsaluki]

Thank you Minny

Does anyone know what the standard deductions for everything comes up to? I know there are certain amounts for things that can be claimed up to and I was wondering if anyone knew that....I live in Illinois

[Minnymouth]

Most everything depends on whether you file 7 or 13......
And whether you use state exemptions or federal exemptions...

Let us know.....

Minny

[bankruptsaluki]

The only way I will file is Chapter 7. I don't know about what exceptions but I live in Illinois.

My face to face consulation is this weekend, already had the phone one, trying to be as prepared as possible.

Thank you very much for all this, I appreciate it greatly

[Minnymouth]

If you do your exepiences/icome sheet and your have more than $100-200 in your account then you will be forced into a Chapter 13 no matter what. Hopefully this will not happen to you!!

What does your lawyer say??

Minny

[bankruptsaluki]

Meeting is this weekend, I will let you know.....Do you include all expenses such as minimum payments on CC's, student Loans, and all of that?

[Minnymouth]

List all income, all expenses (right down to lunches at work).....
complete list....
You will need name, address, acct#, and possible balance of each creditor you owe....
You will need car titles, deeds on property etc for your lawyer....
Do yourself a favor, make copies of everything he might need - keep your originals....
Make you a list of questions you want to ask......leave room to write your answer....
Have your meeting and see what your lawyer says and suggests..

Keep us informed,

Minny

[InDebtInMD]

Meeting is this weekend, I will let you know.....Do you include all expenses such as minimum payments on CC's, student Loans, and all of that?

Our lawyer told us not to include minimum payments on debt we were looking to discharge when making the list of expenses.

The idea is to list everything you are paying to live, and see if anything is left over. If enough is left over (say more than $100??) then may have to file a 13 and the disposable income goes to the creditors for 3 or 5 years.

If nothing is left over (income - expenses is small or negative) then you are insolvent. i.e., you don't have any money to pay the bills and you go the Chapter 7 route.

[herekitty]

Ch13 isn't really all that bad if you have to do it. How much would your payments be if you had to pay all your debt in the next 5 years? $500, $1000, $5000? I mean, if you have an extra $300 a month that's still way better than keeping the debt!

[Whittio]

If I understand this correctly, you make $2400 every two weeks, meaning $4800 a month?? It's going to be VERY hard to show expenses for that much money for a single person. My mom is making $1200 a month, and her expenses were all of that. But if she made $4800 a month, she wouldn't be filing BK.

I think I misunderstand? And your doing this to dissolve $15k in debt? If I am correct, $4800 a month, you could send at least a few hundred a month to that debt, so I am thinking a ch13 is in order??

Good luck at the lawyers meeting.. your case has me interested.

[bankruptsaluki]

2400 a month Gross so minus 30% for taxes it comes to $1680.....There is a great expense calculator on the web. I can't remember the link. I came up with a legit $2260 in expenses so I am good to go...

[bankruptsaluki]

Had consulation with lawyer, filling in two weeks.....

Went well and it makes alot of sense for me to file, lawyer said he will have no problem with getting Chapter 7 approved. One question that I forgot to ask was

Do I get to see all the papers before he files them with the clerk?

I would assume yeah because I again assume that I have to sign a couple things.

All in all, I feel good about it and looking forward to a fresh start.

Thank you all for your help and advice, appreciate it greatly and I will surely keep everyone in the loop with any events that go on. Thanks again and have a great day

Bankruptsaluki