We are planning on filing in June or July. This might sound shady but it it only a thought right now. Income is 48K/year. My husband and I owe about $55k in debt. 11k is our car. The rest is all unsecured. 6k of that is my credit cards. 11K is a joint card (he charged most of it). We are current on everything. We want to plan on having only him file but if need be we will both file. The reason being is because I filed Ch7 10 years ago when I was 21 (i have been waiting 10 years for it to fall off this april), we would like for one of us to have good credit so we can buy a house,. I just feel like I learned my lesson the first time and almost all of the debt is his anyway, I didn't rack up my cards so why should I have to suffer again (although if need be I will but I am sick over this). We currently live with parents (with two kids) and need to get out asap. We would like to transfer (spread out over several cards) as much as we can from the joint card onto his cards so they can be included. If we transfer now, 6 months in advance, will this look bad? We would also like to buy a new car nothing fancy just reliable. Our car has 110k miles and i am afraid it won't last us. If we have a new car to last 5 or six years credit should be cleaned up a bit by then to get a decent rate when its time to buy the next one. Does this sound like a good plan or should I go back to the drawing board?
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The idea of getting reliable transportation is OK but, tranfering debt onto cards you know you'll bk is shady.
At a minimum I'd suggest waiting at least 6 months to file and for sure, make minimum payments on those cards to lessent the chance of a creditor objection. -
I know it sounds like it is shady but the reason for it is because it is a joint card. I did not charge anything on it though. It was all my husband and I actually didn't even know about it. (long story). We are actually not going to file until 6 or 7 months. If need be I will have to file. We are literally charging infant formula and diapers right now.Comment
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Think about buying a new car - 13K with low interest. Also look at buying a house.Golden Jubilee was a year-long celebration held every 50 years in which all bondmen were freed, mortgaged lands were restored to the original owners, and land was left fallow: Lev. 25:8-17Comment
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Originally posted by debter08 View Post
What I'd suggest is, get that car bought while your credit is still good enough to finance something then,stop paying all debt you wish to discharge and start using cash for daily necessities. This hole is deep enough-it's time to stop digging.Comment
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Agree with Keepmine, if you do it you'll want to make sure you keep making the minimum payments on the cards you made the transfers to. If you are sure you are going to file, then stop paying all of your other unsecured debt (and stop using all of your cards completely), and use that money instead for necessities.
Purchasing reliable transportation before filing is a good idea. We purchased a brand new car (nothing outlandish though) 3 months before filing and had no issues.
I noticed you are in MA. Which part? If you are going with a lawyer I can PM you the lawyer we used (eastern MA). He was outstanding and very reasonably priced.Filed Ch 7 - 07/10/08
341 Meeting - 08/13/08
DISCHARGED! - 10/15/08
CLOSED - 10/20/08Comment
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Can we buy a house now? What has always stopped us was our debt. We applied many times and they were always more than willing to give us the loan even with our debt but realistically we knew we couldn't do it. We thought we would actually dig ourselves out of this mess and be able to buy one someday. Now we have faced reality. We were planning on just trying to be good with credit for 2 years and save and then get an FHA loan. If we could buy one now and still keep it I would love to do that. Is it still possible to get a loan with the credit crunch?Originally posted by BigJohn View PostComment
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Access to credit aside for the moment-do you really believe you can make a mortgage payment, a car payment and, support a family on $48K a year in a state like Ma. with a high cost of living?Comment
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Good question. If we don't have the debt then the answer is yes. We have always been looking for a small home not a big one. Maybe even a two family or a condo. The problem was we could never find a home we could afford. Now the homes have become in our price range. We don't live near the city at all so it is not expensive here. An affordable home would be just a little more than renting an apartment. There are plenty of affordable homes where we live (especially with the foreclosures) we are just so far in debt we cant even afford to rent an apartment. It doesn't matter anyway, I don't think we will be buying a home for a long time. I think we will both be filing too. We called today to transfer balances and they wouldn't give us any more credit to transfer them. They wouldn't even lower the interest rate on any of the cards. Most of them stated robotically that they are not lowering interest rates for anyone. They didn't even check our credit report or score. I am really depressed now because I was really hoping I wouldn't have to file also.Originally posted by keepmine View PostComment
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Honestly - a year ago this might have been ok. But now - I say nay. All you have to do is read about how trustees are scrutinizing BKs to the max more than ever and that should be enough to answer your question. In my mind, it is not worth taking the risk. Esp. since trustees have the power to ask for anything and everything. So they can ask for your cc statements from way back when and see the transfer.Originally posted by debter08 View Post
No - if it were me.....I would definitely not do this.Filed Chapter 7 Pro-Se May 29, 2008
341 July 1, 2008
Discharged September 4, 2008
Closed November 10, 2008 :-)Comment
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