Filing C7 without an attorney

[rhiannon65]

What is the name of your state? Illinois

My husband and I are planning to file Chapter 7 before the end of August due to insurmountable credit card and other debt. We plan to reaffirm with our mortgage company (even though our home is not worth the mortgage balance) and our car (but we are planning to trade it in for something newer and not a V8 SUV gas guzzler).

My question(s) center around the actual filing. Because we are not using an attorney (went to the bookstore and got a bankruptcy filing 'kit' with software and support), what happens if we miss someone? Before the discharge I imagine we would just amend, but what about after? Will we both have to appear at the hearing if we are both named? We have no assets other than personal possessions (clothes, some electronics over 3 years old and household items), our mobile home (residence) is not worth the mortgage (it's in great shape, but the market is not good for mobile homes) and even if we got top dollar selling the truck, it wouldn't payoff the loan.

Any advise/suggestions?

Thanks!

[Ladynred]

Unfortunately, IL doesn't give you much choice as far as reaffirming, you have to in IL.. or redeem it if you want to keep it. Otherwise I'd say don't reaffirm on a mobile home, they have lousy resale value.

what happens if we miss someone? Before the discharge I imagine we would just amend, but what about after?

Well, do your best NOT to miss any creditors, make sure you've got your credit reports and get everyone. If you do, by some chance, miss one, the bankruptcy courts have decided that if your case is a no-asset Ch 7, ALL debts are considered discharged whether they were listed on your matrix or not.

Will we both have to appear at the hearing if we are both named?

Yes, you both have to face the Trustee.

How much is the truck worth ? Could you redeem it ? How far upside down are you ?

[rhiannon65]

Ladynred,

Thanks for your advice.

the bluebook on the truck is about 10500, the loan payoff is 12,000 or so. The mobile home is our primary residence, so I have to reaffirm unless I want to move (we lease the land, so I have to pay the lot rent anyway, they (the park) would evict me before the mtg company would repo the house).

wish us luck. Our total debt (not counting the house or truck) is over 40,000, so Ch7 seems to be our best option (I am working a temp job now, making under 33,000/yr and DH is a SAHD).

Thanks again.