Worst case scenario

[Overmylimit]

Yep I'm one of those worse case imaginable kind of guys , we finally got filed today. My question is what happens if they throw out a case? I know that's probably not going to happen to me but I was curious, do the creditors just keep lining up and seeking Judgments?

[catleg]

The worst case scenario is, they garnish 25% of your wages, snatch most of the cash out of your bank account, repo your car(s), and place lien(s) on your real estate.

More likely case, they garnish your wages, levy your bank account but find they've picked the wrong account, don't repo the car because it's already underwater or exempt, and place the lien but get it stripped later in another BK case, or you just walk away from it and let other people sort it out.

I was searching for foreclosures today in our local county clerk web database and it was amazing how many liens a few of the people had. A few were obviously credit cards or casino creditors.

In cases like that the lienholders are listed as defendants to the foreclosure action along with the owners.

[Overmylimit]

Thats what I thought, I have no car loans so no repo I am self employed so the 25% thing....not sure, levy bank accounts....cash my checks?

[forgotten]

Yep I'm one of those worse case imaginable kind of guys , we finally got filed today. My question is what happens if they throw out a case? I know that's probably not going to happen to me but I was curious, do the creditors just keep lining up and seeking Judgments?

Worst case? Your case is thrown out for fraud, refered to the DA's office for criminal prosecution. You are convicted of fraud and go to federal prison for the next 15 years. When you get out all your creditors come back after you (with late fees and interest for the past 15 years), you are now a convict who can't get a job and anything you do manage to get you have tons of creditors trying to take it right back away from you any way they can. All your friends and family have moved on and you die alone on the street.

How is that for worst case for ya?

We won't even go over what happened to you in prison!

[Overmylimit]

Wow I hadn't thought of all that! (since I didn't do anything dishonest)

Oh well.... if that happens I guess I will build that secret lair I've always dreamed about building, erase my identity and fight crime??

[eddiep]

overmylimit
I have been away for awhile, not in jail, just not following the forum. why are you thinking worst case scenario?

[catleg]

Your failure to pay Citibank their "balance due" results in their technical default to a securitization trust, causing the bonds to become due, triggering credit default swaps with AIG, er no, Goldman Sachs, er no, let's say JP Morgan Chase. Chase implodes, taking the banking system down with it. Millions are unemployed, Obama imposes martial law, people are carted away to secret Fema prisons, get the picture? Pay that credit card, no matter how bad it hurts. LOL

[Overmylimit]

Eddie,

I am just a worry wart, I have 2 business's, personal stuff, rental properties, my home ....just tons of paperwork and creditors, I just always plan for the worst on most things just to be safe.

There wasn't any kind of fraud, but since there is so much and the amounts were huge (business lines of credit) I just don't think I am going to breeze on thru.


Cat,

Anything but the Fema prisons!! I'll pay, I'll pay!

[frogger]

Eddie,

I am just a worry wart, I have 2 business's, personal stuff, rental properties, my home ....just tons of paperwork and creditors, I just always plan for the worst on most things just to be safe.

There wasn't any kind of fraud, but since there is so much and the amounts were huge (business lines of credit) I just don't think I am going to breeze on thru.


Cat,

Anything but the Fema prisons!! I'll pay, I'll pay!

Same here, but I'm not worried. Right at 4000 pages of paperwork supplied to the trustee. Let them go thru it all they want.

It's all there, it's all on the table, and it's not going to be a problem.

Next time you think yours is huge, think GM....

We're a tiny fish in a big pond.

[Overmylimit]

Next time you think yours is huge, think GM....

We're a tiny fish in a big pond.

True, True but I don't have their legal team either!

[miindebt]

Frogger - Jeez, 4000 pages of paperwork? What kind of debt did you have and what are they asking for? We'll be filing in a few months with about 350k of debt and a small business (that's not worth anything if it's not us running it) and I'm just wondering how hard this is all going to be...

[eddiep]

Well I wish you the best, it will be over soon and finally you will have some peace!

[DeadManCrawling]

I had about 1600 pages of documentation. Trustee did not ask for a single page. I wasted a LOT of time on that preparation, but it helped me emotionally.

I was also a high income filer with large debts from business. But I was honest, and it all worked out well. You can read about my 341 by searching the forum for the term "brutal". And it was, but not for us.

EddieP--Nice to see you back here. I always valued and appreciated your posts as we went through our BK journey.

[eddiep]

Nice to be back, our case is officially closed now. I hope all is well with you!

[frogger]

Frogger - Jeez, 4000 pages of paperwork? What kind of debt did you have and what are they asking for? We'll be filing in a few months with about 350k of debt and a small business (that's not worth anything if it's not us running it) and I'm just wondering how hard this is all going to be...

Secured, unsecured, all together about 3.5 million in debt. Two corporations, the wife and I, and it was just a lot of paperwork.

When you start getting together all of the bank statements, tax returns, property information, etc., the number of pages add up in a hurry. The trustee has not had to request a single additional document. It was all there.