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Opinions please?

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VaUnicorn

Junior Member
What is the name of your state? Virginia

I have several points I would like to get opinions from experts about. I have already spoken to two local lawyers, and I will probably speak to a third because the first was condescending and the second said that he could accomplish miracles....IF we gave him 1/4 of our annual income for last year.

1. 150k in student loan debt (between two people and adding in penalties and interest, etc) - no degrees - under $10k TOTAL AGI in 2004, expecting an AGI of $15-20k in 2005. Do we file our adversary proceeding before the 341 or after?

2. Failed business. My husband and I were 2 of 2 partners in an LLC. The LLC was cancelled 2 years ago for lack of paying the annual fee and the business has dried up from a high of $30k to the current $4k annual gross income. There is one bill in the name of the cancelled LLC. Does a separate Chapter 7 have to be filed for it?

3. Unknown debt. Many years ago (1985) when my first husband and I were forced into Chapter 7 by a quarter of a million dollars in medical debt, I missed some things when we took all of our paperwork to the attorney. Two years later I had creditors telling me I still owed them since I hadn't listed them specifically. I have seen that if it is unintentional that isn't supposed to be the case, but I would just like to see it again.

4. Automobiles. I own a 1979 Chevy pickup that I bought for $700 last August and my husband owns a 1996 Nissan that we paid off last month. Are both of those vehicles exemptable? Either? We haven't even recorded the paid off lien yet! I know paying off the car won't be considered preferential, because they had the title.

Ok, I think that is all I can think of at this second. Thank you for your help.

VaUnicorn
 


Ladynred

Senior Member
1. 150k in student loan debt (between two people and adding in penalties and interest, etc) - no degrees - under $10k TOTAL AGI in 2004, expecting an AGI of $15-20k in 2005. Do we file our adversary proceeding before the 341 or after?
On what grounds do you think you'd prevail in getting student loans discharged ?? Unless you're both permanently and totally disabled and cannot ever work again, its unlikely you would prevail in getting the SL's discharged. Anyone promising you 'miracles' on SL's is full of it. SL's are extremely hard to discharge, and its going to be nearly impossible once the new law goes into effect.


2 - I'm not sure I can answer this one, not knowing enough about LLC's, but if you both personally guaranteed debts, then a joint bankruptcy would free you of those.

3 - There are court decisions that say that in a no-asset Ch 7 it doesn't matter whether a creditor was listed on your matrix or not, the debt is considered discharged. Those decisions did come after 1985 though. In addition, the statute of limitations on debts that old would have long ago expired.

4 - Check your VA exemptions. If you can exempt the equity in both vehicles you'll be fine.
 

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