Hello,
I'm new here, and have read through many of the past threads before posting. Hope someone with some BK experience can read over my situation and maybe give me a clearer perspective. This will be a LOOOOOONG post, sorry about that.
I have three major areas of concern. First and foremost is a payday loan place that is trying to collect a debt I feel I do not owe. I was under the impression that when the term of the loan expired, the full amount would be debited from my account and the loan would be closed. Instead, they debited for the INTEREST only three times ($130+ each time), and when I found out what was going on, started debiting the full amount, but broken down into small pieces - i.e., instead of debiting $200, they'd debit $50, four times which meant I got hit with four NSF fees, instead of one.
I have been fighting with them for months on this, asking them to point out to me the specific language in the contract that says that they will, or can, do that - the last communication I had from the collections company said that he'd send me an explanation shortly, then today I got a letter from an attorney demanding payment in ten days - which, even if I had the money, I object on principle to paying it because I believe they were fraudulent in their actions. The total on that account is $533. I'd prefer to file BK rather than pay them, I'm that angry about it.
The second complicating factor is my parents. When I was married, my then-husband and I had borrowed from my parents from time to time. After we got divorced, I understood my father to say that the debt was forgiven, because he understood the challenges I was facing as a single parent. That money was never mentioned again, until! Fast forward eight years, and suddenly there's a huge scene about how much money I owe them and I've never even tried to pay it back. Tempers flared, and I (foolishly) signed a paper promising that I'd pay it back at the rate of my child support - i.e., I hand over the child support in full to pay off the debt. Right now that's $400 a month; will soon be doubling.
I know that friends-and-family debts are frowned upon in bankruptcy, but this one involves so much bad blood that I don't think I can include it in the BK or simply stop paying or whatever. (I am in therapy for the family situation, if you wondered.)
The third thing is, I really have no idea how much I owe. I have been fighting a severe depression for two years, and physical health troubles for the better part of this year. I have taken a second job to help stay afloat, but I have just been ignoring the debts completely. The mail comes in, and I stick it in a basket and try to forget about it. I KNOW for a fact that I have several debts that I don't receive statements on anymore, but I don't have any records of them because in a moment of despair a year or so ago, I threw everything away.
SO! If you're still with me...
1. Does anyone have experience with/advice on discharging bad checks or payday loans? Or with fighting the payday loan places?
2. Is there some way around the situation with my parents that I'm not seeing? Right now, I don't think I'd be qualified for a bankruptcy because if you take away the money I'm paying them, I could easily pay my bills (especially with the second job) - but that's as much of an option as including them in a BK filing - i.e., not an option.
3. I know that you have to have all your papers in order when you go in to the attorney, but I have no idea where to even begin - could the attorney's office help me identify all those other bills that I've stopped receiving notices on?
Thanks for reading this far, if you did, and take it from me - stay AWAY from the payday loan places no matter HOW broke you are, and don't borrow from or lend to friends and family...
--d'Asolare
I'm new here, and have read through many of the past threads before posting. Hope someone with some BK experience can read over my situation and maybe give me a clearer perspective. This will be a LOOOOOONG post, sorry about that.
I have three major areas of concern. First and foremost is a payday loan place that is trying to collect a debt I feel I do not owe. I was under the impression that when the term of the loan expired, the full amount would be debited from my account and the loan would be closed. Instead, they debited for the INTEREST only three times ($130+ each time), and when I found out what was going on, started debiting the full amount, but broken down into small pieces - i.e., instead of debiting $200, they'd debit $50, four times which meant I got hit with four NSF fees, instead of one.
I have been fighting with them for months on this, asking them to point out to me the specific language in the contract that says that they will, or can, do that - the last communication I had from the collections company said that he'd send me an explanation shortly, then today I got a letter from an attorney demanding payment in ten days - which, even if I had the money, I object on principle to paying it because I believe they were fraudulent in their actions. The total on that account is $533. I'd prefer to file BK rather than pay them, I'm that angry about it.
The second complicating factor is my parents. When I was married, my then-husband and I had borrowed from my parents from time to time. After we got divorced, I understood my father to say that the debt was forgiven, because he understood the challenges I was facing as a single parent. That money was never mentioned again, until! Fast forward eight years, and suddenly there's a huge scene about how much money I owe them and I've never even tried to pay it back. Tempers flared, and I (foolishly) signed a paper promising that I'd pay it back at the rate of my child support - i.e., I hand over the child support in full to pay off the debt. Right now that's $400 a month; will soon be doubling.
I know that friends-and-family debts are frowned upon in bankruptcy, but this one involves so much bad blood that I don't think I can include it in the BK or simply stop paying or whatever. (I am in therapy for the family situation, if you wondered.)
The third thing is, I really have no idea how much I owe. I have been fighting a severe depression for two years, and physical health troubles for the better part of this year. I have taken a second job to help stay afloat, but I have just been ignoring the debts completely. The mail comes in, and I stick it in a basket and try to forget about it. I KNOW for a fact that I have several debts that I don't receive statements on anymore, but I don't have any records of them because in a moment of despair a year or so ago, I threw everything away.
SO! If you're still with me...
1. Does anyone have experience with/advice on discharging bad checks or payday loans? Or with fighting the payday loan places?
2. Is there some way around the situation with my parents that I'm not seeing? Right now, I don't think I'd be qualified for a bankruptcy because if you take away the money I'm paying them, I could easily pay my bills (especially with the second job) - but that's as much of an option as including them in a BK filing - i.e., not an option.
3. I know that you have to have all your papers in order when you go in to the attorney, but I have no idea where to even begin - could the attorney's office help me identify all those other bills that I've stopped receiving notices on?
Thanks for reading this far, if you did, and take it from me - stay AWAY from the payday loan places no matter HOW broke you are, and don't borrow from or lend to friends and family...
--d'Asolare
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