Here's Hoping for the Best

[danaf]

My husband, who hasn't been working for a looooong time, got together with his mom today and has decided to buy a business (an opportunity that has fallen into his lap.) He knows this business and I think he'd be good at it. It's not an extremely expensive business so it's not like they are risking tons of money. We won't get rich off of this business but he could make a living, possibly pulling in what I make a year or more if he wants. That part is up to him and how ambitious he'll be at it.

I am happy about this because he needs to be working. It hasn't been easy being the main breadwinner in our marriage.

Maybe I'm getting ahead of myself but this will change my plans for bk.

If he makes enough, then I can start paying down my debt and he will do the supporting that I've been doing. Big if though.

He won't make any real reportable income for the remainder of this year so he won't file a tax return. He would file for 08' though.

I suppose I could still file - I'd have to file sooner and take my chances with the balance transfer. The worst is that I could get rid of a large portion of my debt and would have to reaffirm the balance transfer. (I am filing married but solo).

I know the trustee would ask if there's been any changes ie. do I expect to earn more money in the future? That would be sticky.

any thoughts on this new development?

[nc73]

My husband, who hasn't been working for a looooong time, got together with his mom today and has decided to buy a business (an opportunity that has fallen into his lap.) He knows this business and I think he'd be good at it. It's not an extremely expensive business so it's not like they are risking tons of money. We won't get rich off of this business but he could make a living, possibly pulling in what I make a year or more if he wants. That part is up to him and how ambitious he'll be at it.

I am happy about this because he needs to be working. It hasn't been easy being the main breadwinner in our marriage.

Maybe I'm getting ahead of myself but this will change my plans for bk.

If he makes enough, then I can start paying down my debt and he will do the supporting that I've been doing. Big if though.

He won't make any real reportable income for the remainder of this year so he won't file a tax return. He would file for 08' though.

I suppose I could still file - I'd have to file sooner and take my chances with the balance transfer. The worst is that I could get rid of a large portion of my debt and would have to reaffirm the balance transfer. (I am filing married but solo).

I know the trustee would ask if there's been any changes ie. do I expect to earn more money in the future? That would be sticky.

any thoughts on this new development?

Just file ASAP and don't worry what the trusty asks you. Let them find out for themselves..

[lrprn]

I know the trustee would ask if there's been any changes ie. do I expect to earn more money in the future? That would be sticky.

Actually it won't be sticky unless your husband's business starts making a consistent profit before your 341 meeting. Just because he starts a business doesn't mean it will be profitable immediately. You can still answer "no" truthfully - you can't see into the future and be absolutely certain that the business will make money. No one can.

Ask your lawyer what he/she thinks about this situation and whether under the circumstances it's best to file immediately.

[danaf]

Yes but money would be moving through his account.

The money his mom is giving him will go into his account, and then out to buy the business.

We are in a community property state so it is as if his mom is giving us the money.

I guess he could get a bank check. I could ask him but I don't know if he would do that.

[lrprn]

Yes but money would be moving through his account. The money his mom is giving him will go into his account, and then out to buy the business. We are in a community property state so it is as if his mom is giving us the money. I guess he could get a bank check. I could ask him but I don't know if he would do that.

Dana, PLEASE, PLEASE go run this situation by your lawyer (or 2-3 bk lawyers in your area during initial free or low-cost consultations if you don't have a lawyer) BEFORE doing ANYTHING. You could really mess up your filing by doing things this way, especially in a community property state.

[danaf]

thanks lrp.

i intend to run this by the lawyer. bk is federal and not something i want to mess with in the wrong way.

[danaf]

update -

Turn out this was all for naught. The guy selling the business didn't return my husband's call. So he probably sold to someone else.

I did talk to the lawyer today. He said the equipment wouldn't be an issue since it could be under a lien due to a loan from his mom. The obvious problem would be the money my husband would be making that would put me over the median income.

This fire drill made me realize that I need to get this over with. If I file now, for sure I will face at least one creditor objection. The lawyer said that if they object usually it can be negotiated to half of the original amount taken. Considering my overall debt, I could live with that. But if I can hold out for another 3 months, I think it would be better.

This whole bk things is a pain in the butt. At the end of the day though it's a numbers game. Even if my husband went back to work, we'd be slaves to the cc companies for years to come and being that I've already been there, done that - I'm just not up to the game anymore. And it isn't that my husband is purposefully not working - there are issues there that I can't and don't want to talk about.

It's a catch 22 and stressful no matter how many angles one analysis everything.