Trying hard to settle this mess...

[jwmc1]

I have met with an attorney as some of you may have seen and I continue to plan for a chapter 13 filing, but I would really like to avoid it if at all possible. Today I settled on a smaller CapitalOne account. It is at the third CA, a law firm in Cleveland. The balance was about $1,975 and I got them to settle for $1,100 in two payments. My hope is to keep these idiots at bay until March, when I may be in a position to settle with larger creditors. I have three I am worried about. I have a B of A account that is about 180 days past due and still with them, but I am not paying it anymore so it will likely go to a CA at the end of the month. That one is the largest at about $13,000. My wife's Citi card will go to collections at the end of the month and is about $8,000. The final one is a Home Depot account for about $5,000 that went to collection last month. I am hoping to keep the lawsuits away for the next 5 months or I will be forced in bankruptcy. I was offered a $4,400 settlement on the B of A card, but I just don't have it. Hopefully they will be feeling as generous next spring.

[AngelinaCatHub]

To me, not enough info. Your income vs your outflow. If you are bk prime you are now throwing good money after bad. 13 may be fine, and 7 may be your new start. Give info that can be analyzed. Remember, you only get opinions here and advice by experience. 'Hub

[jwmc1]

I am well over the median income and based on the analysis of the attorney as met with and the budgets I have prepared, I am likely at a 100% payback. I have mentally prepared myself to file, but I would rather not if I can avoid it. If I am able to settle and not end up in a 60 month plan I would prefer it. Perhaps I am delaying the inevitable, but I need to try. Besides, if I can settle for much less than 100% as well as not have to file, I think it is worth a try.

[LimpDisc]

How long do you think it will take to pay off each creditor one by one with settlements? You've already ruined your credit and at least BK will give you a definate ending time.

[jwmc1]

How long do you think it will take to pay off each creditor one by one with settlements? You've already ruined your credit and at least BK will give you a definate ending time.

That is true...I may indeed end up there, but for my own sake I have to try.

[jwmc1]

I have $56,000 in unsecured debt, and if I can get a settlement offer from all of them at 50% or better, it might be worth the exercise. If not I can always file. My only other compelling reason to file is the lien stripping of my second mortgage, which I think would be a "no-brainer."