Life After Bankruptcy?

[brtb]

My husband and I are meeting with a bk attorney on Friday to discuss bk options. Hubby is unemployed. We're current on both mortgage. He is late on all of his credit cards. I'm current on everything except a large BOA credit card ($39K).

What is life really like after bankruptcy? Any questions we should ask the attorney?

I wonder if my husband can file and include the one credit card that I'm deliquent on his bankruptcy. I don't know how any of this works.

Thanks for any advice!

[lillymarlene]

Hi brtb, I'm sure others with more experience will chime in, I'm 7/48 months into a c13, but I think life is much more sane and calmer to say the least:-) No more continuous nasty phone calls, creditor court summons being taped to my door and no longer being an indentured servant to credit card banks. However, you will maybe pinch pennies until you have scars on your hands, and budget like crazy!

I don't know but you probably can't include your credit card on your husband's bk, unless it was some type of joint account.

[IHateToBeEmo]

I initially thought I would file bankruptcy alone, but the more I read on this site the more I realized my wife and I would both have to file together. Talking to a bankruptcy attorney confirmed it for me.

Once you talk to your attorney and fill out the forms, you'll more clearly see if your husband should file alone or if you both should file together.

Your husband cannot include your credit card in his bankruptcy if he files alone.

As far as life after bankruptcy, it was a real weight off our shoulders to know we were given a fresh start and had wiped out our debts.

I only wish we had done it sooner, and had not wasted money paying off bills that would have been discharged in bankruptcy.

[artgood]

"What is life really like after bankruptcy?"

From my perspective:

Great relief when the discharge comes. I am no longer a slave to debt (except this year's taxes, and a student loan).

We are finding it hard to save money. Even without the debt payments, we still don't make enough money to save a lot. CONSTANTLY worried something BIG & BAD is going to happen (car breaks down, house troubles, etc) that we won't be able to afford - no credit card safety net.

I feel guilty every time I spend money - going out to eat, buying a new pair of shoes (the pair I replaced had several holes in them), doing anything "fun."

Life has settled down some. We are living within our means (spending less than we make), but the realization that we'll never own a home of our own, or be able to buy a decent car, is overwhelming at times.

[Jacey]

I feel so much better after bankruptcy. The truth is that you fight it for so long, and just talking to the attorney and making the decision to file is a huge relief. I worried and bawled, but felt nothing but relief once the decision was made. That being said, the magic bullet erases the debt but does not automatically make you any smarter with your money. I make enough money to be conservatively comfortable, and the lack of credit is such a blessing really. I know that there will be a time when I think I need it (but isn't that how I got here?), but through a little ingenuity and sacrifice I know I'll make it. Credit is nothing but a trap that we've all escaped in a painful, wonderful way. Don't sweat your journey, don't be ashamed of yourself, and don't cry over milk you spilled repeatedly if you're like me! Life is so much better, and I can't believe the years I spent on that treadmill. Get started, try not to obsess about it, and let us know how it's going!

[Logan]

Life after BK. NO MORE DEBT, 3 credit cards, a car loan and contributing to my 401K!!!!

[DesdemonaB]

Life after BK… for me it’s been life changing…

• Last Friday I paid all my utility bills – on-time and in full; something I wasn’t able to 6 months ago.
• I surrendered a 2002 Dodge –POS for a 2011 Cruze. No more car repair bills, as well as peace of mind that I wouldn’t break down on the expressway – in 19 degree winter weather in height of rush hour with two kids in the car. (really happened)
• I applied and received a Cap 1 unsecured rewards card (low CL – but I’m ok with that).
• My saving is building slowly; 2012 I will be contributing in my 401K again – something I haven’t been able to do since 2008.
• My phones calls are now 100% friends and family; I pick up my mail everyday now – grant it’s all ads but at least my mail carrier doesn’t leave me notes asking if I am on vacation anymore.
• I shop smarter, less often and for needs not wants.
• My only regret – not doing earlier.


Good luck with everything.

[DebtHater]

Life after BK in my experience is rather uneventful. Our (wife and I) debts were erased and now we have money for daily living expenses. We haven't tried to get any new debt, er, I mean credit so I can't speak on how easy of a time I would be able to acquire new debt, I mean credit.

I will say this, the chances of your husband filing and including one of your cards are non existent. If you are the account holder then you must file for the debt to be discharged. Even if you two were a joint account holder and he filed, you are still responsible for the debt unless you filed.

[brtb]

Thanks for all of the replies! Friday can't come soon enough.

I'm anticipating Ch. 13 for us, because from what I've read I don't think we will qualify for Ch. 7, but I guess the attorney will tell us for sure.

Question: Can you only include certain debt in the bankrupcy? For example, I would only want to include the BOA credit card that I'm late on, but still continue to pay everything else that I am current on.

Thanks!

[tobee43]

My husband and I are meeting with a bk attorney on Friday to discuss bk options. Hubby is unemployed. We're current on both mortgage. He is late on all of his credit cards. I'm current on everything except a large BOA credit card ($39K).

What is life really like after bankruptcy? Any questions we should ask the attorney?

I wonder if my husband can file and include the one credit card that I'm deliquent on his bankruptcy. I don't know how any of this works.

Thanks for any advice!

we did a no asset 7....and as you can see...we are now Somewhere over the Rainbow and love it there!!! it just better all the time.

[Jacey]

You can't pick and choose which to file...you have to list all your debts. If you have a real reason to want to repay those debts, you can still do so after discharge...you just don't have to. This will close all your credit lines, so don't think you can keep credit cards after BK. Why would you want to? This is what happens when you carry debt...the load gets so heavy you have to drop it. Your attorney will explain all of this to you, and run the means test yourself no matter what he says. (there are online means tests...I think Nolo website had the one I used repeatedly.) Some attorneys seem to push for 13s when a 7 is an option after expenses are figured in. Good luck!

[tobee43]

You can't pick and choose which to file...you have to list all your debts. If you have a real reason to want to repay those debts, you can still do so after discharge...you just don't have to. This will close all your credit lines, so don't think you can keep credit cards after BK. Why would you want to? This is what happens when you carry debt...the load gets so heavy you have to drop it. Your attorney will explain all of this to you, and run the means test yourself no matter what he says. (there are online means tests...I think Nolo website had the one I used repeatedly.) Some attorneys seem to push for 13s when a 7 is an option after expenses are figured in. Good luck!

that's for sure! i'm sure many would love to pick and choose which to file..

[chicagoed195]

Life after bk is livable, but much better than life before bk We don't spend very much on non essential items and have a little money left over at the end of the month. We do sleep better at night and don't cringe every time the phone rings and the phone almost never rings now!!

[brtb]

We actually have been living on what little cash we do have. All of our credit cards have been closed for a while.

Thanks for the info on the means test on nolo.com. I'm going to check it out.

I feel so embarrassed that we are in this situation. But, we've definitely learned important lessons.

We do have a house that we want to keep and two paid off cars.

Getting all of the info ready for our consultation on Friday has been tedious, but I know it will be worth it in the end.

[tobee43]

We actually have been living on what little cash we do have. All of our credit cards have been closed for a while.

Thanks for the info on the means test on nolo.com. I'm going to check it out.

I feel so embarrassed that we are in this situation. But, we've definitely learned important lessons.

We do have a house that we want to keep and two paid off cars.

Getting all of the info ready for our consultation on Friday has been tedious, but I know it will be worth it in the end.

i know it's hard, but don't feel embarrassed or ashamed of your situation. while you may have learned some valuable lessons in your situation, remember, it's also a part of this economic climate that has driven many of us into this situation. personally, we never missed managed our money, or ever lived beyond our means. yet, none of that mattered when we lost our upper management higher paying jobs, and one of use got very ill and we were over 200k in medical bill debt.

sometimes we just have no control ....you can do this, and will and will give you a chance to start new, and fresh and CLEAN...for a better lack of words ...which i'm usually NOT guilty of... it willl ok...