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Few Questions Re: Chapter 7 BK


LekiaHall
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Now that my UnionPlus issue has been resolved, I plan to file Chapter 7. I have a few questions:

1) I plan to give up a leased vehicle and keep a second car that we still owe 5K on. The car we plan to keep has a second lein with a finance company that we borrowed $1250 from; can we discharge this finance company debt or will it have to be paid?

2) I expect a student loan refund for approx 2K in mid-February. Should I wait until after I get this to file or will I be okay?

3) What's the approx timeline from when you file, to the creditor meeting, to discharge?

4) If we only plan to reaffirm the financed car and have no other assets, is filing pro se okay or should we have an atty?

ps. We are in Maryland.

Thanks in advance to all.

-LSH

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1) I plan to give up a leased vehicle and keep a second car that we still owe 5K on. The car we plan to keep has a second lein with a finance company that we borrowed $1250 from; can we discharge this finance company debt or will it have to be paid?

Was this just a case where you borrowed the money and listed the car as collateral ?? If that is the case, then you'll need a lawyer. The lawyer can file a motion to avoid this non-purchase money security interest in the car. With the lien stripped off, the debt to the finance company will be discharged.

2) I expect a student loan refund for approx 2K in mid-February. Should I wait until after I get this to file or will I be okay?

A refund ?? Did you over-pay ? If its a refund for over-payment, then the Trustee is going to want that 2K. The only way to keep that money would be to use it for NECESSARY expenses before you file and keep records of where it went.

3) What's the approx timeline from when you file, to the creditor meeting, to discharge?

In general the 341 is scheduled for not later than 45 days after the filing date, but is usually about 30 days after. After the 341 meeting, you must wait 60 days during which creditors may object to your filing. If there are no objections (most never do), then on Day 61 you should be granted your discharge.

4) If we only plan to reaffirm the financed car and have no other assets, is filing pro se okay or should we have an atty?

It can be done pro se, but I wouldn't. You really do want a lawyer to handle your case primarily because of that 2nd lien on your car. Most people are simply not prepared to handle the paper work, the motions, and certainly are not prepared to handle any monkey wrench that might get thrown into the works.

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Guest jeeptravel

BK should be a "once in a lifetime" thing. This saving $ by "do it yourself" BK movement in books I see at Barnes and Noble is highly over-rated.

Get a lawyer . . . a good one.

You'll sleep better for the years you'll be drudging through this.

Just my 2 cents. Sorry to hear about your BK situation. I have been through my own and my lawyer was GREAT.

jt

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Thanks for responding LadyNRed. To answer your questions:

Yes, I borrowed money and used my car as collateral. And I'll take your advice and hire a lawyer. I would hate to have a problem crop up that I'm clueless at answering. Also, thanks for the info on the lien! I was worried that they would be able to take my car.

The school refund is from the difference in my tuition vs. student loans. I plan to use the money for my summer classes (when I don't get financial aid), but that won't be until May. If I get the money and tell them that's what I'm using it for, will that wash or will I have to wait after Feb to file?

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