Homemaker filing chpt 13

What is the name of your state?va

I am a married homemaker thinking about filing chapter 13. All of my debt is from before I was married and we have nothing that is joint and I will be filing seperately. I have a few ?'s as I dont even know where to begin in this process but know it "needs" to be done.

~Me being a homemeker does this make a difference?
~Will it affect my husband at all ( he is in the airforce)?
~Will I lose my car? have been on time with all payments for 3+ years.
~If I dont lose my car my mother is a cosigner will she be affected?
~What are the average costs of bankruptcy?
~My debt is only around a nagging $4500.00 do the debt amounts matter and how do they determin whether or not you can file?

Thanks for any insight on this! Need to start somewhere. Any additional info would be appreciated also.

~RA

I meant chapter 7

[Ladynred]

I'm glad you clarified the Chapter. Ch 13 with no income is impossible

~Me being a homemeker does this make a difference?

No, not for a Ch 7

~Will it affect my husband at all ( he is in the airforce)?

As long as there are no joint accounts, no.

Will I lose my car? have been on time with all payments for 3+ years.

Probably not. Depends on the equity you have in it and your exemption limits.

~If I dont lose my car my mother is a cosigner will she be affected?

If you don't reaffirm or redeem the car loan, then the lender will go after your mother for repayment of the debt. Your bankruptcy could possibly show up on her credit reports too, but should be relatively easy to remove with disputes.

What are the average costs of bankruptcy?

Can't answer that, the cost varies widely by area. Filing cost for a Ch 7 is $209.

My debt is only around a nagging $4500.00 do the debt amounts matter and how do they determin whether or not you can file?

No, the amount does not matter. What matters is whether or not you have enough disposable income to pay back your creditors. Since YOU have no income that is not an issue. Your husband's income will have to go on your forms as it goes to household income.

I suggest you call around and get 2 or 3 free consultations with local BK attorneys.

Originally Posted by 2bdebtfree

What is the name of your state?va

I am a married homemaker thinking about filing chapter 13. All of my debt is from before I was married and we have nothing that is joint and I will be filing seperately. I have a few ?'s as I dont even know where to begin in this process but know it "needs" to be done.

~Me being a homemeker does this make a difference?
~Will it affect my husband at all ( he is in the airforce)?
~Will I lose my car? have been on time with all payments for 3+ years.
~If I dont lose my car my mother is a cosigner will she be affected?
~What are the average costs of bankruptcy?
~My debt is only around a nagging $4500.00 do the debt amounts matter and how do they determin whether or not you can file?

Thanks for any insight on this! Need to start somewhere. Any additional info would be appreciated also.

~RA

I just finished up a chapter 7 bankruptcy in Ohio and my spouse is in the military too, but we both work. We were married last year and the debts I filed on were premarital and also left over from my divorce almost four years ago. Between my ex's home, my home, and other debts, I had around $200K in total debts and all but $15K (my student loans) was discharged in the bankruptcy.

My suggestion is that if you don't have significant late payments and a trashed credit history already and if you can pay on this $4500 debt plus your car, that you continue to do so. While it may seem like a lot to you, it may end up costing you more than you realize.

As a military spouse, you'll most likely be moving from location to location. The bk on your credit report will affect you and your spouse's joint credit history and joint score, though it shouldn't impact his credit history individually and will not have an impact on his career (we checked on that with legal way before I made the decision to file). What this all means is that if you try to buy a house together any time within 10 years of filing for bankruptcy, the bankruptcy may very well cost you extra money in higher interest rates, it may make it difficult for you to get a home loan in the first place, or you might be forced into not only a higher interest rate, but having to pay PMI (prepaid mortgage insurance) that will raise your monthly mortgage costs. Further, if your spouse gets deployed, you may very well have a difficult time should you need to get any type of a loan (like replacing your car) or rent a new apartment on your own since most apartment complexes that I'm aware of now check your credit report before leasing to you.

Bankruptcy can also impact your ability to get certain jobs. Right now, if I were required to get a job where I'd need to be bonded (typically a job where I'd be handling money or working for the post office), I might have problems getting the job.

Seriously think about it before filing on this low of an amount. While it might be nice to get rid of your premarital debts and start out fresh, it will haunt you for at least 10 years on your credit report.