Divorced 7 years with alimony due to end in a few months.
Alimony is exempt from garnishment in Colorado.
Been paying all my debts....make Susie Gorman look like a spendthrift!
BUT
I was supposed to get $500k net from the sale of our marital home as my division of property. But X refused to let me 'fix it up to maximize gain from sale' as perm orders stated and in 2008, the judge changed the orders to sell it 'as is'. A receiver was appointed to preserve value and sell it, but all he did was take about $200k from our HELOC and spend it on himself and on contractors who didn't do squat. Then, in a NOT at arms length transaction (ex's friends) he accepted a contract on the house for so little that if the sale goes through, I will have to declare bankruptcy just to save my homestead exemption ($90k).
I tried to 'save' the house by offering to buy out my X's 40% share but he wants twice what he's willing to let the Receiver sell it for. Finally, I realized that my share less loan and liens and exemption is LESS than nothing (no equity). If I file right now, will the bankruptcy trustee stop the sale becausee it won't even fully pay my secured creditors let alone my unsecured? Would the trustee let me buy out X's share of the house and keep paying on the HELOC which is the only mortgage?
I always pay my credit cards and bills, but the 'divorce debt' is what is killing me. There is an attorney fee lien even tho that attorney agreed to take my paying him through trial date and whatever the court awarded paid by X. (25k by me and 70k by X) Then he went back and the judge gave him an extra $90k (57k plus 18% interest) that he said I had to pay and liened my house!
Even tho I'm retired and disabled, and X is a doc remarried to a doc with about $700k in income and 2 houses, X keeps getting the judge to reduce my share of prop division (by $300k so far) and then the judge makes me pay his attorney fees even tho I can't afford an attorney to represent me. But I digress....mea culpa for the rant.
What I'd like to do, if possible, is keep the house so that I have a place to live, especially since alimony runs out soon. When the market comes back, I 'm pretty sure that I can get twice the now rate for the house (I built the house myself in 1984 and think I can get it whipped into shape with some hard work and friends' help). And then I'm willing to pay off the judgment lien debt (tho I'm very angry about crooked lawyer's lien) If I could get rid of the unsecured debt now (about $120k to my X ) I could afford it. Family will lend me enough to buy out X's share of the house.
So: since the current offer is for less than my current debt, will the bankruptvcy trustee void the sale? If I keep the HELOC current and the judgment liens only payble upon sale or refinance, will the trustee 'let' me buy out X's share? And since alimony is exempt in Colorado, will I have to turn over my bank account which only contains alimony to the trustee? (I currently have a little more than what my tax bill will be, but since I'll also have to pay taxes on 8 months of 2010 income, I need to keep a big chunk of change available for that too.) I have no other assets except two timeshares that were bought with my kid off the internet and they are worth nada but cost maintenance fees that are more than the purchase price...so do I list the 'asset' as what I could get for the timeshare and the 'debt' as the yearly maintenance, even though I pay it when due (monthly)?
sorry for all these questions, but I really hate filing unless it will help me get rid of some of this divorce debt and keep the house.
THANK YOU SO MUCH!
Alimony is exempt from garnishment in Colorado.
Been paying all my debts....make Susie Gorman look like a spendthrift!
BUT
I was supposed to get $500k net from the sale of our marital home as my division of property. But X refused to let me 'fix it up to maximize gain from sale' as perm orders stated and in 2008, the judge changed the orders to sell it 'as is'. A receiver was appointed to preserve value and sell it, but all he did was take about $200k from our HELOC and spend it on himself and on contractors who didn't do squat. Then, in a NOT at arms length transaction (ex's friends) he accepted a contract on the house for so little that if the sale goes through, I will have to declare bankruptcy just to save my homestead exemption ($90k).
I tried to 'save' the house by offering to buy out my X's 40% share but he wants twice what he's willing to let the Receiver sell it for. Finally, I realized that my share less loan and liens and exemption is LESS than nothing (no equity). If I file right now, will the bankruptcy trustee stop the sale becausee it won't even fully pay my secured creditors let alone my unsecured? Would the trustee let me buy out X's share of the house and keep paying on the HELOC which is the only mortgage?
I always pay my credit cards and bills, but the 'divorce debt' is what is killing me. There is an attorney fee lien even tho that attorney agreed to take my paying him through trial date and whatever the court awarded paid by X. (25k by me and 70k by X) Then he went back and the judge gave him an extra $90k (57k plus 18% interest) that he said I had to pay and liened my house!
Even tho I'm retired and disabled, and X is a doc remarried to a doc with about $700k in income and 2 houses, X keeps getting the judge to reduce my share of prop division (by $300k so far) and then the judge makes me pay his attorney fees even tho I can't afford an attorney to represent me. But I digress....mea culpa for the rant.
What I'd like to do, if possible, is keep the house so that I have a place to live, especially since alimony runs out soon. When the market comes back, I 'm pretty sure that I can get twice the now rate for the house (I built the house myself in 1984 and think I can get it whipped into shape with some hard work and friends' help). And then I'm willing to pay off the judgment lien debt (tho I'm very angry about crooked lawyer's lien) If I could get rid of the unsecured debt now (about $120k to my X ) I could afford it. Family will lend me enough to buy out X's share of the house.
So: since the current offer is for less than my current debt, will the bankruptvcy trustee void the sale? If I keep the HELOC current and the judgment liens only payble upon sale or refinance, will the trustee 'let' me buy out X's share? And since alimony is exempt in Colorado, will I have to turn over my bank account which only contains alimony to the trustee? (I currently have a little more than what my tax bill will be, but since I'll also have to pay taxes on 8 months of 2010 income, I need to keep a big chunk of change available for that too.) I have no other assets except two timeshares that were bought with my kid off the internet and they are worth nada but cost maintenance fees that are more than the purchase price...so do I list the 'asset' as what I could get for the timeshare and the 'debt' as the yearly maintenance, even though I pay it when due (monthly)?
sorry for all these questions, but I really hate filing unless it will help me get rid of some of this divorce debt and keep the house.
THANK YOU SO MUCH!