Any advice for a newbie?

[megtes]

So, here are my stats:
17k in c.c debt
10k business loan
11 k unsubsidized private student loan from non title 4 school
24k car
10k car
I dont either of the cars so those will go
I dont have any assets

First, I have never missed a payment once. I was advised by my atty to stop making payments and using anything for 3 months, then file. Does that sound about right? I am a little apprehensive to do so since I have always been on time (even if that meant not getting meds for the month!) I would like to pay until I actually file or get the discharge....I guess my worry is what happens if I dont get a discharge? Then I just trashed my credit? I make just below the median income in my state...it is 40898 here in florida and I am at 39900.

Another question I have is with the private unsubsidized career training loan from allie mae....has anyone had any luck getting these discharged? I have read things here and there about possibilities of it but was just wondering if they even worked out.

Please, any words of wisdom will truly help....I am a naive 22 year old that is completely lost and confused in this mess I got into. I thank you in advance for your responses.

[TEW]

Well if what you've written here is all true your will not have a problem getting a discharge.
If you want to keep paying may I suggest that I am a better place the throw money away?
Or you could just burn it and make heat stop paying and save the money for things you need to do like meds and to pay your lawyer.

[AngelinaCat]

Your lawyer is telling you to stop paying on the credit cards because if you are going to include them and discharge the debt anyway, you will be throwing 'good' money after 'bad.' Instead use the money you are saving to build an emergency fund and a fund with which to pay the lawyer.

If you are going to surrender the cars, that will help, but mortgage holder will still hold you responsible for the differenc left on the amount owed once the vehicles are sold at auction. The mortgage holder will then take steps to sue you for the difference. That debt can be discharged also.

The education loan, I am not sure about. Most student loans are not dischargeable. In rare instances some people have been able to get a hardship discharge--but you have to prove a real hardship. Read through some of the forums here on student loans.

You might want to invest in nolopress.com's downloadable book on Ch.7. It is resonably priced and is written in plain English.

Good luck to you.