How to pay attorney fees

[RLOPE]

My attorney fees for a Chapter 7 are $2,500, and for a Chapter 13 are $4,500. Though I fail the means the test, I'm pushing for the Chapter 7, but that remains to be seen after an analysis of my income and expenses. However, If I am to stop using credit cards 90 days prior to filing, and as it is, my income does not cover my living expenses, how the HECK am I going to pay the attorney fees? ? ? Do I pay NOW with one of the credit cards I will default on? Help Please!!!!!!

[newbie2]

My attorney fees for a Chapter 7 are $2,500, and for a Chapter 13 are $4,500. Though I fail the means the test, I'm pushing for the Chapter 7, but that remains to be seen after an analysis of my income and expenses. However, If I am to stop using credit cards 90 days prior to filing, and as it is, my income does not cover my living expenses, how the HECK am I going to pay the attorney fees? ? ? Do I pay NOW with one of the credit cards I will default on? Help Please!!!!!!

Do NOT pay for your attorney with a credit card. Since your income doesn't even cover your living expenses now may not be the best time for you to file for bankruptcy. Get your basic living expenses under control first and then file.

[keepinitreal]

Send what you have been sending for your credit card bills to your bankruptcy attorney instead.

No, you can't charge your attorney bill to your credit card and then get that charge forgiven in bankruptcy.

Be very sure that you cut your expenses to the bone in order to match your income.

Good luck!

[DebtHater]

As others have touched on, you have a bigger problem then your debt. You must get your living expenses in order. If your debt was completely wiped away tomorrow through bankruptcy, what would you do? You still would not have the income to cover your living expenses with no credit cards to fall back on.

You need to write up a monthly budget and cut all the fat out of it. No eating out. Brown bag your lunch to work. Get rid of the 500 cable channels you never watch, etc. Downsize your car. Downsize your house.

If you still can't make it, a second job may be in your future.

[RLOPE]

thanks everybody - - i appreciate the input. We've pretty much decided to file, but this is so tricky in terms of timing and other considerations, like realizing one of my creditors is of the same bank as my checking .... SO I BETTER SHUT DOWN THAT ACCOUNT. This forum has been so helpful. Thanks again.

[frogger]

Since your income doesn't even cover your living expenses now may not be the best time for you to file for bankruptcy. Get your basic living expenses under control first and then file.

I agree. Get your income/expenses under control before you file. If you can't live on what you make now, you won't be able to make it later.

[Pandora]

Ouch - $2500 for a Ch. 7 and $4500 for a 13? Holy crap.... is that the standard rate for your area for BK attorney's?

Agree with everyone else - you need to get your finances in order else filing BK will be for nothing in the long run if you cannot support the necessities.

[helpme2010]

This is a valuable post for those contemplating bk. I watched this board for a long while before going bk and decided I would make sure I had enough money to cover my attorney fees and a little left-over cash to cover the bills for a few months.

The time to go bk is while you still have a little bit of money left. Some attorneys will work out a payment plan whereby you can pay them over a few month period.

Also, like they say on this board, immediately stop paying your creditors and save that money for your attorney and your expenses.

[RLOPE]

This is a valuable post for those contemplating bk. I watched this board for a long while before going bk and decided I would make sure I had enough money to cover my attorney fees and a little left-over cash to cover the bills for a few months.

The time to go bk is while you still have a little bit of money left. Some attorneys will work out a payment plan whereby you can pay them over a few month period.

Also, like they say on this board, immediately stop paying your creditors and save that money for your attorney and your expenses.[/QUOTE]

Thanks for the advice. I am to also STOP using the credit cards at the same time, correct?

[ValleYum]

Thanks for the advice. I am to also STOP using the credit cards at the same time, correct?

Most credit card companies won't let you use their credit cards if you don't pay them.

[helpme2010]

This is a valuable post for those contemplating bk. I watched this board for a long while before going bk and decided I would make sure I had enough money to cover my attorney fees and a little left-over cash to cover the bills for a few months.

The time to go bk is while you still have a little bit of money left. Some attorneys will work out a payment plan whereby you can pay them over a few month period.

Also, like they say on this board, immediately stop paying your creditors and save that money for your attorney and your expenses.

Thanks for the advice. I am to also STOP using the credit cards at the same time, correct?[/QUOTE]

If you know you will be filing bk or if you simply can't afford the cards anymore, then that is the time to stop paying. If you see your life savings dropping dramatically each month and you see you are running out of time and there is no life line coming immediately ahead, then you may want to stop paying and consider filing bk. You can speak to an attorney about this as well.

All that will happen is for months the credit card companies will call you 5 to 10 times a day. Just ignore the calls.