Differences in Bankruptcy since 99

[eli4625]

What is the name of your state (only U.S. law)? IN
Back in 1999 I filed for personal chapter 7 and it was granted. I did it all myself from the paper work to the filing and such. Back then it was $175 to file, I appeared at a hearing stating I had no assests then later in front of a judge and it was granted. Well now I am looking at filing again. My debt is basically CC and a car. I would like to keep the car, but may not be able. My question is besides the increase to file (now up to $300) what other things have changed that I should be aware of?

 

[CourtClerk]

What is the name of your state (only U.S. law)? IN
Back in 1999 I filed for personal chapter 7 and it was granted. I did it all myself from the paper work to the filing and such. Back then it was $175 to file, I appeared at a hearing stating I had no assests then later in front of a judge and it was granted. Well now I am looking at filing again. My debt is basically CC and a car. I would like to keep the car, but may not be able. My question is besides the increase to file (now up to $300) what other things have changed that I should be aware of?

You should be aware that thanks to people like you, it's become much more difficult to file for bankruptcy thank heavens. That stops people from over extending themselves, buying things they can't afford, then leaving it to the responsible people of the world to end up paying for it in higher interest rates. Really, why do I and the rest of us have to continue to pay for your CONTINUED irresponsibility? Some people don't file bk once, YOU however decide you will do it at regular intervals.

 

[Country Living]

Well said, CC!

We also wind up paying higher product and service prices in addition to the higher interest rates. Why should we be forced to carry the burden of someone elses irresponsibility?

 

[bigun]

Per bk reform, you'll need to have a credit counseling certficate showing you took a court approved CCCS class withing 180 days of filing. You'll also have to complete a debt management class prior to discharge.

There is also the means test and disposable income issue.
This link can give you a good idea where you stand.

LegalConsumer.com :: Free Bankruptcy Information, Means Test Calculator, Exemption Laws,

You might find more asistance at Bankruptcy Forum

 

[eli4625]

Wake up

Sorry but you pay higher everything because big business wants to steal your money. I would be more then willing to pay off these debts if the CC companies were willing to work with me. How is it my fault the economy went into the trash? I am lucky to even have a job, so if the CC companies are not willing to work with me, then screw them.

 

[CourtClerk]

Sorry but you pay higher everything because big business wants to steal your money. I would be more then willing to pay off these debts if the CC companies were willing to work with me. How is it my fault the economy went into the trash? I am lucky to even have a job, so if the CC companies are not willing to work with me, then screw them.

Work with you???? They lent you money in good faith and they expected it paid back according to the terms YOU agreed to while you were off spending THEIR money. Now YOU want to change the terms because you overextended yourself? Puhleeze. I wonder if it were you on the other end, lending out money, would you find yourself so amenable to someone who probably bought frivolously and then decided they wanted to change the terms in paying you back your money.

I personally hope they deny your bankruptcy petition and you have to deal with the mess you created, not once, but twice.

 

[CourtClerk]

Sorry but you pay higher everything because big business wants to steal your money.

Oh, and I have yet to pay higher anything because of a few good reasons:

1. I have a great credit score because I pay my bills, on time, per the terms of my contract. Therefore the interest rate on the 1 thing that I do finance, is very low.

2. I NEVER buy anything I can't afford.

3. I pay cash for most things

 

[eli4625]

Thank you

I went to the web site and man is it confusing. All I know is that with my present job I bring home 1300 a month after taxes and what I pay out for my rent, car, car insurance, heat, water, electric, dish and phone comes to about 1200 per month, so I have about 100 a month to live on. This does not include making any payments on my Credit cards. I am making almost 40% less now then I was in my previous job, which when I had, was always on time making all of my payments. Since my home loan folks who are countrywide/fannie mae don't find me or my unemployed sister a hardship case, getting our mortage rate reduced won't happen so we will soon be losing the house.

Do you have to find the Credit counseling?

 

[CourtClerk]

Sell the car and take public transportation. You obviously can't afford it. Once you do that, you eliminate car payment, car insurance, vehicle maintenance and you can buy a montly bus pass.

Get rid of the dish and watch the free tv.

Gid rid of the internet access and use the free stuff at the local library.

If you have a cell phone, disconnect it.

Get a second job.

 

[eli4625]

Back the truck up

I was paying my bills on time and wasn't overextended until I lost my job due to the faultering economy. I was able to make all my payments and put money into savings. I went from having almost $2500 in spendable earnings now I am at $1300. I would love to make what I was making but the jobs are not there. I am not asking for the debt to be forgotten, just adjusted until the economy improves. If you lost your job today, how long could you survive?

 

[CourtClerk]

If you lost your job today, how long could you survive?

Quite a while. You'd be surprised what steps I started taking once I saw YEARS AGO that the ecomony was tanking.

I life FAR below my means. FAR. It's called PLANNING.... no toys, no nonsense on credit. If you want nonsense, then pay for it in cash. If you can't afford it in cash, then you don't need it on a credit card either. Know the difference between a want and a need. Obviously, you didn't learn that lesson the first time.

 

[eli4625]

Can't...

1. Can't sell the car as I owe about $6000 on it more then it's value.
2. Public transportation in Indianapolis isn't an option. From my home to my employer isn't on the grid, so how would I get work.
3. Cancel the dish and pay for a early cancelation fee, again which I can not afford.
4. Would love to get a second job, problem is very few choices of second jobs available from say 6-7am till 1pm daily, I work a second shift job.
5. I never lived "above my means" my cc were used to pay for stuff. My total cc debt is about $7500, and outside of my car is my only debt. I don't own a new car, don't live in luxury, I just got screwed by a horrible economy.

 

[CourtClerk]

1. Can't sell the car as I owe about $6000 on it more then it's value.

Sell it for as much as you can get for it, then the deficiency isn't as big. You don't owe as much for as long. Gets you out of debt faster.

2. Public transportation in Indianapolis isn't an option. From my home to my employer isn't on the grid, so how would I get work.

Not everyone in Indianapolis has a car, yet they have jobs and get there. Ride a bike.

3. Cancel the dish and pay for a early cancelation fee, again which I can not afford.

One time cancellation fee is cheaper than a montly obligation. They will make arrangements for you to pay the cancellation.

4. Would love to get a second job, problem is very few choices of second jobs available from say 6-7am till 1pm daily, I work a second shift job.

Then start earlier than 6 - 7am. Work security, they need security guards 24 hours a day. They stock shelves in the grocery market overnight. People drive taxi cabs. There are lots of options if you actually WORKED toward trying to find them.

5. I never lived "above my means" my cc were used to pay for stuff.

"Stuff" is junk. Junk you probably didn't need in the first place, which means you lived above your means.

My total cc debt is about $7500, and outside of my car is my only debt. I don't own a new car, don't live in luxury, I just got screwed by a horrible economy.

You screwed yourself. That's part of the problem, you are unwilling to see your part in this, thus, there will be a THIRD bankruptcy since it's everyone's fault. It's Countrywide's fault because they are going to make you lose your house because you bought one you couldn't afford. It's the CC's fault because they aren't working with you. It's the economy's fault. It's everyone's fault but your own, yet you are the one looking to file bk FOR THE SECOND TIME.

 

[eli4625]

Can't part 2

You can not sell a car if you don't get what it is worth. The loan company is not going to give up the title without full payment, the only way the loan company will release the title is with full payment. Would you buy a car that you can not take title of?

I work about 12 miles from my job, the bus line does not run that way and a bike is not an option.

If I cancel the phone or dish they will come after me also for payment via a lawsuit, I might as well just include them then into the bankruptcy.

I am not sure if you have seen the country lately, people are not hiring. My sister was laid off in Feb, has sent out over 200 resumes and has not gotten even an interview.

Again, when I had a well paying job, I was able to afford everything, and once the economy rebounds I will again, IF the CC people and home loan people were will to "work" with me, then bankruptcy would not have to be considered. Which is smarther for them, work with me and get their money, don't work with me and get nothing?

 

[bigun]

Time for a reality check here. Your problem is not debt but, lack of income. $7500 is not worth filing bk over. Even if you file, you still have to support yourself post bk and you can't do that on $1300/month.
You need more work period and you can't wait until the economy improves. Jobs are hard to come by but, you need to give up your weekends and start flipping burgers or stocking shelves or something.
BK won't fix this problem.
I seldom recommed this but, call an NFCC credit counseling ofice in your area. Maybe they can help with interest rates and repayment plans.

Welcome to NFCC!