Bankruptcy Help?

• Nashley25

  So I have a family member who is going to file brankruptcy and I want to help them but I don't know anything about this. What type of advice can I give him or things he should be aware of? I've told him you don't want to do this but he feels it's his only way out, plus he and his wife are expecting their first child in June so money will be getting even tighter.
• Drums of War

  First find out which they qualify for. If they can not completely walk away, it may not be worth it. If they make too much money, they may go through the BK and still owe thousands. Make sure they talk to a GOOD attourney first. Many of these "bankruptcy" attourneys are just an assembly line. Fast in, collect the fee, fast out, never hear from them again. Make sure they have someone that will fight for them.
• CenterBHSFan

  

  First off, Wow! Bankruptcy before you have your first child seems a little outlandish to me.
  
  
  Second, have they considered shopping around for a consolidation loan?
• Con_Alma

  Good advice Drums.
  
  Nashley your family member may "feel" like this is their only way out but it would be my suggestion that they should not make decisions like this based on feelings. Getting out may not be the answer. Managing the situation may be a better solution long term for them especially if they are expecting a child.
  
  There's no way to truly know without the details. They should talk to a bankruptcy attorney.
• Fab1b

  

  Make sure they exhaust all their options first before going so far, especially with a baby on the way!!!! I would recommend they get a free consul with a reputable attorney.
• pinstriper

  Bankruptcy is a cop out...tell them to fight their way out of their debt, start making better decisions, and only agree to bankruptcy if they are FORCED into it by thier mortgage company or whatever. Most people that file are not even close to bankrupt, they just don't want to change their lfestyle and buckle-down to clear their debt.
• mcburg93

  

  Bankruptcy is a little tougher then it used to be. But it helped me out when I was 22. Ive been able to turn everything around since then. Make sure they find a good attorney cause things will pop up that shouldve been included in the bankruptcy for a year or two after you file. I think it helps a lot of people out. Been alot of big name people file bankruptcy so tell him/her not to be embarrassed.
• iclfan2

  

  mcburg93 wrote: Been alot of big name people file bankruptcy so tell him/her not to be embarrassed.

  Unless it is some crazy situation, which it sounds like it isn't, he should be embarassed to file bankruptcy. Especially if he has cable, internet, cell phones, etc.
• queencitybuckeye

  It may or may not be the right call for this person, but the idea that there should be no stigma attached to bankruptcy is a major factor in its growth.
• FairwoodKing

  iclfan2 wrote:

  mcburg93 wrote: Been alot of big name people file bankruptcy so tell him/her not to be embarrassed.

  Unless it is some crazy situation, which it sounds like it isn't, he should be embarassed to file bankruptcy. Especially if he has cable, internet, cell phones, etc.

  That's ridiculous. No one should be embarrassed to file. I had to file last year, and believe me, it was only as a last resort.
  
  I can say from first-hand knowledge that having a good attorney is critical. You can't do this without one.
  
  The bankruptcy has only affected my life in two ways. First, I don't have any credit cards. For my situation, that is a good thing. Secondly, I lost out on a good job because they did a credit check on me.
• Belly35

  

  NO Bankruptcy is not the answer just an excuse to not try.
  The newer laws does not let you just walk away from the responsibilities there are something that will still have to be paid off and they will have to still make arrangement to pay after paying the blood sucking lawyer. Plus the fact that Bankruptcy is a red flag sometimes in hiring personnel, no home purchase for 4 or 7 years (?) and many more things that will do more harm than good.
  
  Work with the creditor…. call get the payments lower, pay the interest only, look for a second job or third, sell things to make the payments, send only a few buck in at a time (but make a payment).
• queencitybuckeye

  FairwoodKing wrote: That's ridiculous. No one should be embarrassed to file.

  Nonsense. For every person who filed due to circumstances (largely) beyond their control, there is at least one person (or more) in the situation due to nothing other than poor choices. Why do you believe it would be a good thing to tell them that their misbehavior is OK?
• mcburg93

  

  Nonsense. For every person who filed due to circumstances (largely) beyond their control, there is at least one person (or more) in the situation due to nothing other than poor choices. Why do you believe it would be a good thing to tell them that their misbehavior is OK?

  
  evidently you have never had anything bad to happen to you. Thats fine keep judging. When you lose your job and cant afford a place to live come back here and talk to us. Not all of us was handed a silver spoon.
  
  
  
  
  I thought that the senate was trying to pass a law not allowing companies to use credit checks. Who knows they make their own rules. Only thing bankruptcy did to me was help me out. Had 60k in medical bills and credit card bills which were completely my fault. I tried to deal with it best I could but after finding out how many people has done it i wasnt embarassed anymore.

• pinstriper

  queencitybuckeye wrote:

  FairwoodKing wrote: That's ridiculous. No one should be embarrassed to file.

  Nonsense. For every person who filed due to circumstances (largely) beyond their control, there is at least one person (or more) in the situation due to nothing other than poor choices. Why do you believe it would be a good thing to tell them that their misbehavior is OK?

  This. If you do not have enough control over your finances to keep out of bankruptcy, then you should be embarrassed...no matter what the cause.
• Fab1b

  

  queencitybuckeye wrote:

  FairwoodKing wrote: That's ridiculous. No one should be embarrassed to file.

  Nonsense. For every person who filed due to circumstances (largely) beyond their control, there is at least one person (or more) in the situation due to nothing other than poor choices. Why do you believe it would be a good thing to tell them that their misbehavior is OK?

  Agree there should be a stigma! Most of the common folk that file is because they got out of control, lived way beyond their means off credit, drove cars way out of their price range, or mortgaged homes way out of their price range and that is their fault!!! Now there are circumstances that this is the answer but if they just can't afford all the nice little toys they bought on credit I don't feel a bit sorry for them!! Like Belly said, get a 2nd/3rd job, cut off the cable, internet, cell. Get in touch with creditors and work out plans, etc.......
  
  I speak from experience too! I never filed but I was in financial ruins early 2000's with my ex wife (basically living well beyond our means through credit/loans). I worked hard, sold my house and instead of pissing the profit away we paid off our debts! I now live debt free, do not use credit cards or loans, drive cars that are paid for. I have a great job, work overtime when I can to pay cash for everything I buy, go, or do!!
• queencitybuckeye

  mcburg93 wrote: evidently you have never had anything bad to happen to you. Thats fine keep judging. When you lose your job and cant afford a place to live come back here and talk to us. Not all of us was handed a silver spoon.

  Did you actually read what I said?
• mcburg93

  

  I agree with what you all say but trust me try not having insurance and get in a wreck had insurance on my car but no health insurance. My total medical bills were over 100k they lowered to 60k. I couldnt work so was living on credit cards. I rented an apartment for 300 month with no cable or phone. So before you judge what causes people to file maybe you should here the whole story.
• pinstriper

  queencitybuckeye wrote:

  mcburg93 wrote: evidently you have never had anything bad to happen to you. Thats fine keep judging. When you lose your job and cant afford a place to live come back here and talk to us. Not all of us was handed a silver spoon.

  Did you actually read what I said?

  If queencity doesn't want to judge, then I will. You obviously lived beyond your means...didn't prepare for a medical problem by not having insurance/savings/whatever...ran up credit cards for no reason...and decided to take the easy way out by filing bankruptcy and sticking everyone else who you borrowed from with the bills/debt instead of owning up to your committments and working hard to get through it. So YES, you should be embarrassed.
• FairwoodKing

  There is an old Cherokee saying: Never judge a man until you have walked a mile in his moccasins. You fools haven't walked an inch in mine, so you don't know what you are talking about. I'm on disability and haven't been able to work for a number of years. The bills mounted up until I couldn't handle them any more. Bankruptcy is the only choice I had.
  
  The bottom line is that I am NOT embarrassed to have gone through bankruptcy.
• pinstriper

  FairwoodKing wrote: There is an old Cherokee saying: Never judge a man until you have walked a mile in his moccasins. You fools haven't walked an inch in mine, so you don't know what you are talking about. I'm on disability and haven't been able to work for a number of years. The bills mounted up until I couldn't handle them any more. Bankruptcy is the only choice I had.
  
  The bottom line is that I am NOT embarrassed to have gone through bankruptcy.

  There's another saying out there...you made your bed, now you have to sleep in it. All YOUR choices led YOU to that decision; choices to live in a house/drive a car you could not afford and took out payments on...didn't insure against medical catastrophy/disability...whatever the case. I believe there are 2 types of people, those who prepare for every scenario that could arise and save/invest/insure for it - living their life a step or 2 below what they really can afford just to be cautious in case of emergency. Then there's the 2nd type, with no plan for the future, just live for the moment and deal with what arises. Most that file bankruptcy fall into the 2nd category, for that I'm sure.
• Fab1b

  

  FairwoodKing wrote: There is an old Cherokee saying: Never judge a man until you have walked a mile in his moccasins. You fools haven't walked an inch in mine, so you don't know what you are talking about. I'm on disability and haven't been able to work for a number of years. The bills mounted up until I couldn't handle them any more. Bankruptcy is the only choice I had.
  
  The bottom line is that I am NOT embarrassed to have gone through bankruptcy.

  May I ask why you didn't have medical insurance?
  
  I can tell you this, I have let the thought cross my mind before about why am I paying for medical insurance, I never go to the doctor or anything??? But I quickly realize that it isn't smart and something is gonna happen so I keep my coverage and pay for it every month!
• queencitybuckeye

  FairwoodKing wrote: You fools haven't walked an inch in mine, so you don't know what you are talking about.

  Your basis for this knowledge is ???
  
  You claim we "fools" don't know anything about your situation, yet you make statements about others with no more knowledge. Google hypocrisy.
• sleeper

  

  People that have to file for bankruptcy are largely ignorant and obviously poor. My only advice for them is to start smoking/drinking heavily so you're time on Earth is cut short and also to abort the oncoming child ASAP so we(the public) don't have to feed it for their entire life.
• FairwoodKing

  queencitybuckeye wrote:

  FairwoodKing wrote: You fools haven't walked an inch in mine, so you don't know what you are talking about.

  Your basis for this knowledge is ???
  
  You claim we "fools" don't know anything about your situation, yet you make statements about others with no more knowledge. Google hypocrisy.

  Based upon the comments that many of you have made, it is obvious that you have never gone through bankruptcy. Therefore, you don't know from first-hand knowledge what it is like. Nevertheless, people like you have made a lot of judgment calls on people like me.
  
  If you ever had to go through this, you would change your tune.
• Fab1b

  

  So again may I ask why you didn't have medical coverage?