I’m thinking about filing for bankruptcy I maybe have about a little over $6000 in personal credit card debt
admin | Apr 06, 2010 | Comments 11
positive an auto loan I did for someone in 2002, my debt is more than my income. Does anyone know if it would make sense for me to file for such a small amount. I have already talk to a lawyer’s office about it I just need a second educated opinion from someone who would know.
I don’t own anything I still live at home I live in Michigan so jobs are very hard to come by I just want to make a fresh initiation.
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Filed Under: Bankruptcy
YOU ARE A SUCKER! NEVER CO-SIGN FOR ANY LOAN!
6000 in CC debt?
Buy a household and re-finance your loan so you can add it to your loan balance…cut up the cards…
I don’t have an answer to your question but I just sought after to make a statement to a previous answerer… How is she supposed to buy a household when no one would finance one bc of her credit. How dumb. Answer the question!! duh! LOL
In your jurisdiction does bankruptcy make forgiveness of all your debt so you initiation over fresh?
Debt as large as your income for a year is less than many make out of without bankruptcy.
The info you give does not caution us how much you would be able to reduce your debt each year if you choose to pay it off without bankruptcy. Many would be paying on that debt for 5 to 10 years just to make out of the hole, without considering any problems you might have along the way.
Bankruptcy is not to be taken lightly, but neither is 10 years of abject poverty.
For $6000? No way.
Take another job and place every dime towards the debt.
Make an culture and earn more money.
One word: No…..Even if you be eligible for filing under the “means” test you still shouldn’t file….This simply isn’t a high enough debt level for anyone to file The boards 7….regardless of how low the income is. If you’re close to default on your debt….offer settlements in the 50% range. You’re creditors should take that in lieu of loosing everything if you file for BK……Be sure to make all terms in writing from your creditors if you do this.
place on’t file for bankruptcy. Here’s the thing…you can settle your debts for FAR less than you owe. It’s kind of an unspoken truth. Also, you can dispute charges on your credit through the credit union websites. The kicker is that it’s emancipated for you to dispute it, but it costs the company $75 every time to keep it live. Chances are after the third time they will be in the hole for too much and it will come off your record. This works for most older debts and items that have gone into collections.
Also, you can contact the collection agencies or creditors and question to settle for a lesser amount to close your balance. If you do this, there is an IMPORTANT step to follow…write directly on the check: “THIS CHECK PAYS THE BALANCE IN FULL.” When they cash your check they are legally accepting your payment to wipe out your debt for the account.
These are things you can do on your own with a small patience and determination. Essentially this is what credit fixing companies do. $6000 in credit card debt is average really. Most credit fixing companies don’t usually take anyone with less than $10,000 in debt. Bankruptcy is NOT a excellent option. In detail it only guarantees that you won’t be able to finance or open new clad credit accounts for 7 years.
As for credit card debt. Call the card companies and clarify your situation and see if you can make a cut-rate interest rate. Whatever you do, just make sure you pay AT LEAST the smallest payment. If you miss payments you’ll make charged for the late fees and they will boost your interest to the maximum.
Hope this helps. Excellent luck!
Shorty, the Banks want their Money in any form.Ever since Congress passed the Bankruptcy laws its been harder to file. Either way you need to contact them and let them know what you able to pay. The days of filing and leaving the institution holding the bag are over. Make a deal and if you have to make another job to pay it off, then do it.The banks have also doubled the Smallest payments as you no doubt have found out, and that supposed to let you pay it off sooner.
place on’t go toward bankruptcy – it will last with you much longer with you than paying down the debt.
place on’t file bankruptcy. After passage of the Bankruptcy Act last year you can no longer have your credit card debt wiped clean in a Chap. 7 liquidation. Instead you will have to continue to make payments. And the car loan will not be forgiven…and if you stop making the payments the lender will simply repossess the car. If you really hunker down…work a full time job and a section time job, live frugally and place every penny into paying off your debts you can probably work your way out of this debt within a year. Excellent luck.
$60,000 in credit card debt –> file bankruptcy, yes.
$6,000 –> not worth 10 years of terrible reputation with creditors and credit bureaus.
If you live at home, then you need to take whatever job your current culture, talents, and abilities can provide and initiation paying off those debts.
Second, you did an auto loan for someone in 2002. Did you at smallest amount make your name added to the title of the car? Where is the car? Can you sell the car to pay off some of your debts? Hell, can you use the car to drive to a better paying job to aid you pay down these debts?
Before you commit to a 10 year punishment period, you might want to make sure you have examined all of your alternatives.
Initially of all, contrary to what some people on here are telling you, credit card debt is still dischargeable. Please people, if you know nothing about bankruptcy, stop making such remarks that are clearly not right.
How much is the auto loan? Did that person default on it and that’s why you’re mentioning it? If your wages are at risk of being garnished it might be a excellent thought to file, but it is right you can negotiate your debt.