What to do now??

[aaahaa]

Hey There,

I am ssssoooo glad to have found this website! I am going through such a dillemna which I'm sure most of you did too. Otherwise, we would not be here I searched through the forums and haven't found anyone in the situation that I am in so here it goes..

My credit was bad when I went to undergrad but I was able to come back to normal and eventually bought a condominium 3 years ago. Yeahh!! Now here comes the sad story

About 4 months back my parents got sick and I had to move back to my country to help them out. In return, I have lost my job and was not able to pay my mortgage for a few months. I still need to be here helping my parents so I cannot come back to the States for atleast a year because they are very sick.

In the meantime, I tried to sell the unit but the housing market is so bad that I haven't recieved any offer to help me with this situation.

The line of credit I might be able to get is about $20,000.. Now here's the thing.. Considering the fact that it does not sell..

-- I go for forclosure or bankruptcy? What is the difference and the benefits?

-- To top it off, I have a $35,000 bill that the collection friends are looking for me for. It's a bit different, it is not a student loan, and I was able to finish my grad school (MBA) without paying the tuition..

-- Based on my circumstances, I was thinking about maxing out my credit card to help my parents (about $8000)

So am I not better off using all the limits and then applying for bankruptcy? I know I need to go this route since I'm not coming back for a year or two and don't have a job..

Any suggestions and comments would help me truly. Please help and please do not think I am abusing the system because I have tried my options and cannot think of any other ways.. And now with the war in Iraq, oil prices and our good ol' president.. I don't think the economy will be any better anytime soon.. More foreclosures and desperate times are coming for many of us..

Please advice.

[SinkingFast]

Running up charges on your credit when you know you'll most likely be filing BK is fraud. No other way to put it than to be blunt.

You can't file BK from a foreign country unless your active duty military, I think. So you'd have to come back to the US, to your home State, to file.

Foreclosure is where the Lender declares you're in Default and sells the house to recover their monies. Some States allow for the Lender to seek a Deficiency Balance, others do not. So your liability, as far as your mortgage is concerned, will depend on the State the property is located in.

Bankruptcy is where you file to have all allowable debts Discharged. Depending on your income, you may qualify to file Ch 7 or be required to repay a portion of your debts in a Ch 13 Payment Plan. Generally speaking, Student Loans, recent taxes, alimony, child support, and some other specific types of debt are not Dischargeable.

[aaahaa]

"Running up charges on your credit when you know you'll most likely be filing BK is fraud. No other way to put it than to be blunt."

-- Isn't this what United States is doing to itself with war, social security, defence.. etc. etc..? I can go non-stop.. And who's getting affected? Us..

All these sweet deals about low rates for credit cards and mortgages? Many low and mid income families fall for these low rates.. You think they can pay for it after the shim sham changes after 5 years fixed rate? No.. Who's letting it happen? The government.

"You can't file BK from a foreign country unless your active duty military, I think. So you'd have to come back to the US, to your home State, to file."

-- I would like to but I have to take care of my parents first.. and it would take me about an year before they are fine.. If they are fine.. Parents first you know..

"Foreclosure is where the Lender declares you're in Default and sells the house to recover their monies. Some States allow for the Lender to seek a Deficiency Balance, others do not. So your liability, as far as your mortgage is concerned, will depend on the State the property is located in."

-- My home is in New Jersey

"Bankruptcy is where you file to have all allowable debts Discharged. Depending on your income, you may qualify to file Ch 7 or be required to repay a portion of your debts in a Ch 13 Payment Plan. Generally speaking, Student Loans, recent taxes, alimony, child support, and some other specific types of debt are not Dischargeable."

-- I do not have a job because I was in the IT field and it was outsourced.. So many of our jobs are outsourced.. I just called one of the lenders and guess what? It was in India? Is it because the corporations and frenzy about making money for the shareholders or the government is not putting enough regulations to keep the US economy intact?

Frankly.. they just don't care about peeps like us who are posting away to somehow survive.. How many of you are reading this are in my position? If not 100%.. Most of you.. So please, help me decide something constructive..

[SinkingFast]

Because others lie, does that make it right for you to lie??

Because others steal, does that make it right for you to steal??

Because others cheat, does that make it right for you to cheat??

No one here is gonna tell you to commit fraud. That's not what this Forum is about.