Need advice please!

[airone]

Hello all,

Thank you for your time. I am currently going through a divorce uncontested with my wife. We have agreed on everything. Unfortunetly between the both of us we owe about $45000 in credit card debt. I am active duty in the Air Force and make a good wage. But once divorced its either pay off my cards or pay child support. I don't know about other people but the way I see it child support is a must. So I feel I have no other option but to file for Chapter 7. Any advice before I make such an important decision that will change my life forever? What would you do if you was in my shoes? My child support will be $1200 and will leave me $2000 to live on. After I pay for bare living expenses including my car payment I am looking at about $200 for extras a month which of course will be used to visit my kids as much as possible. Of course I will have to get a second job. Thats a given. Sorry for being so winded. I just need to hear what others would do if they was in my shoes. Thanks Again.

Billy

[HRx]

Hi,

Based on the information you provided, filing for Chp 7 appears to be the most logical decision to make. Albiet, your credit will be "bad" for several years, wiping out all your credit card debts will better enable you to budget your monies on more important issues, in the immediate and forthcoming future.

Good Luck!

[airone]

Todd,

Thanks for the advice. I just needed to hear it from someone I guess. Anyways, right now my credit score is an average of about 695 from all three agencies. Once I file am I looking at 560 or lower? I have never been late on a payment. Plus should I wait to file after I get divorced or before the divorce is final. As of right now my debt to ratio is only 65% of our combined gross income. But once divorced I could no longer be able to make the payments because of duel household expenses instead of just one househould like I mentioned above. One last question. I own a grandma house worth about $8500 apprasial. It brings in $400 a month though as a rental. My wife could really use this money to pay back her stunent loans. Is there anyway to keep this property? Should I sell it to my mother in law for $1. I really don't want it but again it the income could really help out my wife and my two kids since they will be living with her a majority of the time. Thanks again for all your advice. Both me and Julie appreciate it.

Billy

[EdytaHome]

You shouldn't sell any property a year before discharge. Did you mean $85,000 on the worth of the house? How much do you and your wife still owe? You may be forced to sell this property during your bk inorder to pay your debt.
You could sell it now than wait a year to file or some how give it to your wife as part of the settlement on your divorce. Make sure you're not on the deed.
If you file bk alone, your wife will be stuck with paying for the CC debt.
Once you decided you'll file bk, you could just stop paying on all the cards. Maybe you'll want to file together so that your wife is not stuck with the debt.
Good luck.

[airone]

Message for EdytaHome

EdytaHome,

No the house is really only worth around $8500 according to an apprasial I got about 8 months ago. We get around $400 a month because we rent it out. Can I just give this house to my mother in law and wipe our name off the deed and put her's on it instead so the trustee can't touch it? And if I can do I still have to wait a year to file my Bk? My divorce is final in May and I will need to file by then. Thanks for your advice in advance.

P.S. The house is paid off in full. Also both my wife and I will be filing for Bk.

Billy

[BrokeCh7]

Child Support

Don't have much to say about the rest but deppending on the state your child support would change with more vistation. So maybe you need to check into getting more vistation and not a second job. My ex moved and some fool of a judge thought it was a good idea that i only get one weekend a month. My time with my daughter went from 45% to 20% big change. Include an screwed up ex and it only gets worse. I will stop here ...........