We can't find an attorney

[justbroke]

Yes, it's tough owing creditors; especially aggressive creditors. The SBA is an independent agency but they act like any large creditor. They are aggressive when protecting the interests of the government (the guarantor of the loans). In this particular case, the SBA isn't trying to exert any pressure. The SBA is documenting all of the property of the business. The SBA has a blanket financing statement filed with the State granting it a security interest (lien) on all property of the business whether acquired when the loan was approved and any property acquired after that time.

The SBA is trying to make sure the business doesn't liquidate or otherwise try to hide business property before the SBA takes action to exercise their rights under the agreement. That's simply it. They don't want things to disappear without a good explanation.

[desertplains]

So, he let the employees go this morning, was getting ready to leave and someone walked in the door. He told my husband the SBA bank hired him and took pictures of every room (big building). Holy cow how much pressure can one guy take!?!

[justbroke]

I can't give marriage advice, moreso because I think it should be based on your life together, family, and not necessarily finances. Not so funny thing is that finances are a very significant contributor to what destroys most marriages. So that fact alone is surely what's driving you to think about divorce. Whether or not divorce will cure the financial ills is an entirely different topic for a different day.

As for the MCA's, even if personally guaranteed, bankruptcy will cure that issue since it would discharge any personally guaranteed debt.

As for keeping property, that will depend on which bankruptcy chapter you file. A chapter 7 is a straight liquidation, so trying to keep non-exempt property is nearly impossible. A chapter 13 is where a debtor "may" get to keep some or all of their property, so long as they pay a minimum amount to the unsecured creditors. That minimum amount is based on the "liquidation" value in a hypothetical Chapter 7. in other words, they pretend you filed Chapter 7 and if that Chapter 7 would yield $120K in non-exempt property, then you need to pay at least $120K in the Chapter 13.

These are all topics that I hope you can sit down with an attorney and discuss. I'm also hoping that you have sought the consult of at least 5 different attorneys in your area.

[desertplains]

Really not happy with him or our marriage, if I divorced him would it help me and our child?

[desertplains]

Today's consult was not what we expected. He referred us back to orig Atty that didn't return calls a couple weeks ago for Feb 10th. I made my husband call him back and leave another message that we want to retain him.

Is there a way to keep our 5th wheel for a home in a trailer park since I'd guess it's worth more than we owe on it. and def more than $5000 chap 7 exemption. Crap, I don't even think we can keep my 21 year old pickup. What does someone do without a home or a vehicle? This is not a walkable place even in town.

Todays atty said I am not eligible for my own homestead exemption since I'm not on the loan or title. Umm, 35 years together with joint assets (cry emojie). I had husband aske about TBE and no clear answer except something about a family member paying mortgage. We don't have any family members that can do that.

No clear answer on the MCA's if they get discharged or not. Nor if the surety bond company that will likely have 2 claims. He's got a couple sizeable checks coming in but I fear the first MCA will swipe that $$

He's letting the staff go tomorrow, I pray the $$ is still in the account for them too or we'll be sued by the state for not issuing their remaining vacation along with last paycheck.

Husband has an interview coming up, it could change everything, chap 13 instead of 7. I just know we're behind the ball. We have a dog, a cat, and chickens. Chickens I have no clue but I inquired on a duplex rental that allows pets tonight, and looked up storage unit costs since I'm thinking we'll be foreclosed on What a nightmare.

He can't say if our home is collateral for any of the MCA's or the personal loans he took out smh. Said he will bring his files home thurs or friday so we can go through them.

[justbroke]

If the value that you list on your petition is challenged, you can always provide evidence that the value is correct. A true appraisal performed by a licensed appraiser and reported in conformance with the uniform residential appraisal report will always be better than a Zillow estimate. Talk to your attorney; they may have you just get a broker's price opinion or something that doesn't cost $$$. If it comes to it, then you may need to get an appraisal. Unless you have a lot of equity, it may not even be necessary to obtain one. This is something that you'll work with your bankruptcy attorney.

As des wrote, talk to the attorney first. They're going to have a much better picture of your assets and the strategy.

[desertplains]

The thing will be how much personal liability remains attached to your real and personal property.

Our home, and my wedding rings basically, no clue what they are worth now after 3+ decades but they weren't that much to begin with. My truck is 2005, not that great. I have ~less than $3K in stocks/crypto, not shook about losing that.

County assessor has our market value like a lot in town, except we're not in town, not water or sewer or natural gas out here,

I'm concerned about our kids! I want to keep them in the same schools, and since husband (our) business was prominent word will travel fast in a small town.

County assessor has our market value like a lot in town, except we're not in town, not water or sewer or natural gas out here,
I think I figured out why the county has market value on our home so high now. Had an appraisal on our home when hhusband took out the generic SBA 7a loan out for collateral on the commercial building. I read about SBA loans wanting as high collatoral as possible. Maybe we can get an appraisal to prove real worth?

[shipo]

Thanks, I think 13 too but my husband will have no income to qualify for the repayment plan since his business is gone. That and he's older now and the sales jobs we rocked back then are few and far between. He's submitting to jobs but no bites yet.

While "ageism" is certainly a thing when it comes to looking for a new gig when you're older, it seems to be hit and miss. I was actively recruited for my last three jobs directly by the HR departments of the companies I worked/work for. The first one when I was 56, the second when I was when I was 64, and the most recent last year when I was 68. When the HR department of Google reached out to me last spring, I said, "Why do you want me? I'm old, I have no degree, and I live nearly a thousand miles from where you want me to work."

Their answer was, "If you can do the job, we'll figure something out."

Four months of interviews and negotiations later, I became a work-from-home employee.

[despritfreya]

I have several questions and more infor for both of you, do I respond here or start new threads?

If the questions relate to the topic of this thread, I would keep it here. Regardless, I would hold the questions till after you meet with the attorney. Understand. . . while bankruptcy law is a Federal law, its interpretation is subject to Case Law from the District you are in as well as local procedure and even State law. Wyoming is in the 10the Circuit. My responses (unless otherwise stated) are general in nature and based upon my experience in the 9th Circuit.

Des.

[desertplains]

Discuss all of this with the local attny. You have a number of options. But for the mortgage lien against the commercial building, you should not lose any assets. If the commercial building has equity, the entity (I assume it is not tiled to you) could sell it to pay off the lienholder and pay down entity debt - especially if the entity owes taxes. If there is no equity, let it go.

The MCA lenders are not taking your home. If you do nothing, they will get judgments and then they will (without domesticating the judgments in your State) wack bank accounts at big banks (Chase, WF, B of A). I tell my clients use a smaller bank like a local credit union or some obscure bank like ones you find inside big box and grocery stores. Once a bk is filed, it won't matter as the debt will be "gone".

I get your husband's concerns over the employees but if there is no money to pay the employees isn't it better to let them go so they can find other employment? Stringing them along and then not being able to pay them is not what they would want.

Again, keep us posted. Hopefully you will have some answers next week when you meet with that attny.

Des.

Des, I thank you and justbroke for your kindness and taking the time to share your exptise, I have several questions and more infor for both of you, do I respond here or start new threads?

[justbroke]

Yes, a Chapter 13 requires "regular" income to fund the plan. Everyone prefers the speed of a Chapter 7, with the capabilities of a Chapter 13. I know that I prefer such a system. (They have this hybrid called a Chapter 20, but you don't see those too often. Chapter 7 followed by a Chapter 13.)

[desertplains]

If you're trying to save and keep property, a Chapter 13 may be better. Hopefully you'll be able to thoroughly review all available options with an attorney.

Businesses fail all the time. Nearly every major car manufacturer has filed bankruptcy several times. We won't even talk about the airlines. It's a good feeling to employ and try to keep people employed so that they can support their families. My thoughts are that many businesses that struggled to get through COVID-19 era restrictions are starting to feel the pain now with all the debt. At least the EIDL loans were 3% over 30 years, but a lot of other loans, like MCAs, are the death knell.

Wishing you the best.

Thanks, I think 13 too but my husband will have no income to qualify for the repayment plan since his business is gone. That and he's older now and the sales jobs we rocked back then are few and far between. He's submitting to jobs but no bites yet.

[despritfreya]

Discuss all of this with the local attny. You have a number of options. But for the mortgage lien against the commercial building, you should not lose any assets. If the commercial building has equity, the entity (I assume it is not tiled to you) could sell it to pay off the lienholder and pay down entity debt - especially if the entity owes taxes. If there is no equity, let it go.

The MCA lenders are not taking your home. If you do nothing, they will get judgments and then they will (without domesticating the judgments in your State) wack bank accounts at big banks (Chase, WF, B of A). I tell my clients use a smaller bank like a local credit union or some obscure bank like ones you find inside big box and grocery stores. Once a bk is filed, it won't matter as the debt will be "gone".

I get your husband's concerns over the employees but if there is no money to pay the employees isn't it better to let them go so they can find other employment? Stringing them along and then not being able to pay them is not what they would want.

Again, keep us posted. Hopefully you will have some answers next week when you meet with that attny.

Des.

[justbroke]

If you're trying to save and keep property, a Chapter 13 may be better. Hopefully you'll be able to thoroughly review all available options with an attorney.

Businesses fail all the time. Nearly every major car manufacturer has filed bankruptcy several times. We won't even talk about the airlines. It's a good feeling to employ and try to keep people employed so that they can support their families. My thoughts are that many businesses that struggled to get through COVID-19 era restrictions are starting to feel the pain now with all the debt. At least the EIDL loans were 3% over 30 years, but a lot of other loans, like MCAs, are the death knell.

Wishing you the best.

[desertplains]

Sopunds like an ordinary SBA 7(a) loan. Doesn't read as if it was an EIDL loan related to COVID-19. It sounds like you are winding down the business with the SBA taking the building which partially secured the loan. The thing will be how much personal liability remains attached to your real and personal property. Hopefully you find a good attorney soon who can help you on both ends... personal and business with SBA (non-EIDL) loans involved. We had to deal with a few of them over the last two years and we always ask if it's COVID-related, FEMA-related, or a generic SBA 7A loan.

The thing will be how much personal liability remains attached to your real and personal property.

Our home, and my wedding rings basically, no clue what they are worth now after 3+ decades but they weren't that much to begin with. My truck is 2005, not that great. I have ~less than $3K in stocks/crypto, not shook about losing that.

County assessor has our market value like a lot in town, except we're not in town, not water or sewer or natural gas out here,

I'm concerned about our kids! I want to keep them in the same schools, and since husband (our) business was prominent word will travel fast in a small town.