Hi, I'm new to the forum and my husband and I will be seeing our attorney next week to discuss our options-chapter 7, most likely. If this belongs somewhere else, please let me know. 
Here are a few things that are bothering me.
Background-we are both self employed-run an internet/ebay type business. Our debt is credit card and some medical bills. I'm an authorized user on two credit cards, one is a friend, one is my mom. Over the last year (and before), I made payments to those cards either directly (business/personal checking acct) or through a check to the person. Those would be considered insider, correct? I am unsure of the total amounts, but I'd rather have my mom not be bothered (ie: if we file, get a letter demanding she pay back money/sued) so do trustees generally let you work out a way to pay it back to them if you are honest and upfront? I read online that they sometimes do that, although a lot of info is unclear.
Also, my husband just sold our car within the last two weeks. We paid the title loan of 2900 and were left with about 2400. We are using this to move (moving in with family), paying for food, getting our business set up at the new residence, and other things-prescriptions, what not. Is paying off a title loan considered preferential? We had to pay it off to sell the car, to release the title, and we needed the cash to do important things like pay electricity/food/etc.
Now, I want to file soon, we just have to get together profit/loss sheets etc for the lawyer. But, before that, I want to be prepared. My husband already has two judgements against him from Discover and Amex for 13k and 16k. At least Discover has filed wage garnishment (which they haven't gotten yet because he's unemployed atm). I'm concerned about our bank account being levied, so I really want to nip this in the bud. On my credit cards, I haven't been sued and actually settled with a couple last year. Our original plan was to work as much as possible, live with relatives, save money, then settle with the creditors, one at a time. However, Discover/Amex have forced my hand since there's the worry of bank accts being levied and judgements don't help his job prospects as after you get two, an employer can fire you.
We definitely fit the bill for Ch 7, in fact, I don't think our income atm would qualify us for ch. 13, but I don't want to get in trouble with anyone and my elderly mom does not need to have money paid to her credit card-that I charged up-taken back. She's on a fixed income, in not great health, and this would be devastating.
Add in to the fact that the credit card purchases were three quarters for business purchases and we are an LLC, although I doubt that does much. I'm in AZ btw.
I love this site, been reading as much as I can, and I just want to be prepared so we can get back on track. If anyone has advice or things I shouldn't miss (like questions to ask the lawyer) I really appreciate it!
Here are a few things that are bothering me.
Background-we are both self employed-run an internet/ebay type business. Our debt is credit card and some medical bills. I'm an authorized user on two credit cards, one is a friend, one is my mom. Over the last year (and before), I made payments to those cards either directly (business/personal checking acct) or through a check to the person. Those would be considered insider, correct? I am unsure of the total amounts, but I'd rather have my mom not be bothered (ie: if we file, get a letter demanding she pay back money/sued) so do trustees generally let you work out a way to pay it back to them if you are honest and upfront? I read online that they sometimes do that, although a lot of info is unclear.
Also, my husband just sold our car within the last two weeks. We paid the title loan of 2900 and were left with about 2400. We are using this to move (moving in with family), paying for food, getting our business set up at the new residence, and other things-prescriptions, what not. Is paying off a title loan considered preferential? We had to pay it off to sell the car, to release the title, and we needed the cash to do important things like pay electricity/food/etc.
Now, I want to file soon, we just have to get together profit/loss sheets etc for the lawyer. But, before that, I want to be prepared. My husband already has two judgements against him from Discover and Amex for 13k and 16k. At least Discover has filed wage garnishment (which they haven't gotten yet because he's unemployed atm). I'm concerned about our bank account being levied, so I really want to nip this in the bud. On my credit cards, I haven't been sued and actually settled with a couple last year. Our original plan was to work as much as possible, live with relatives, save money, then settle with the creditors, one at a time. However, Discover/Amex have forced my hand since there's the worry of bank accts being levied and judgements don't help his job prospects as after you get two, an employer can fire you.
We definitely fit the bill for Ch 7, in fact, I don't think our income atm would qualify us for ch. 13, but I don't want to get in trouble with anyone and my elderly mom does not need to have money paid to her credit card-that I charged up-taken back. She's on a fixed income, in not great health, and this would be devastating.
Add in to the fact that the credit card purchases were three quarters for business purchases and we are an LLC, although I doubt that does much. I'm in AZ btw.
I love this site, been reading as much as I can, and I just want to be prepared so we can get back on track. If anyone has advice or things I shouldn't miss (like questions to ask the lawyer) I really appreciate it!
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