gravelgirl66

Before I get my tongue Lashing

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Well, I NEVER thought I would be here AGAIN... but here I am... Staring down the barrell of a second Ch. 7.  I am seriously having a de ja vu moment... My first BK discharged in 2005... Lost everything when I lost my job.. And here I am again, just handed a small (less than 5k) separation package from the job I have had for 7 years.. :(   

 

So I am staring down the barrel of another BK around Feb time frame....It may NOT happen, I may can pull it out, LOADs of debt.. including student loan this time.. so please I don't need to hear how I totally screwed up.. I don't have but only 4 credit cards.. but the balances.. jesus!  I thought I was doing so well..

 

So onto my questions..

 

I know I am eligible (8 years out) on another.  Yet, I filed pro se back then, and they didn't have the "means test" - is this to big a feat to try to file Pro Se again?

 

2nd.. Three of my accounts are with one creditor.. and I am also the "primary" on my spouse's car note.. He needed my credit to get the vehicle... geez look at me now..   My car note is held with the same Credit Union as my credit card, and a signature loan.. do you think they will try to touch the car if I continue to make payments, and don't "stop" paying that loan as well as my spouse continuing to make payments on his vehicle?

 

3rd.. Should I go ahead and "close" all the accounts I can Now?  Will it make a diffrence in late fees/etc??  I am currently NOT late on any of them..

 

4th.. I know there is a "separate step" if you try to get any amount of student loan debt discharged... How involved is this?

 

Lastly.. if i decide to give up my vehicle.. back to the bank.. I would have to "buy" another vehicle.. (buy here pay here) with tax money..my plans are to forgo the bk if it becomes necessary unitl "after" my tax refund.. How do you explain that you just "bought a car" to a trustee?

 

Thanks in advance

 

GG

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I would say almost forget discharging the student loan debt.  You would need to prove with the court that paying those back would cause extreme financial disaster.   As I understand it, this involves a separate hearing and you would have to go in front of the court to file this action and state your case.   You would have better luck discharging tax debt owed to the IRS.

 

I filed Chapter 7 using an attorney and recommend that people use an attorney, but to each their own.    My case was rather involved and wouldn't have risked messing something up with my filing Pro Se.  

 

The Means Test will look back on the last 180 days of income deducting various expenses, etc.  Here is link to Florida Means Test... just choose your county and fill out to see how you sit (pass / fail).  It is pretty reliable gauge to see if you will pass, but highly recommend you let an experienced BK attorney handle this as when mine was done, there was a lot of things that I did incorrectly.... more of the fact of truely not understanding HOW to enter the info for the MEANs test.  Experienced attorneys now how to work the test.

 

http://www.legalconsumer.com/bankruptcy/means-test/state.php?st=FL

 

 

Remember, the Means Test is in place to determine if you will qualify for Chapter 7 ... if not, you will go Chapter 13.  

 

Because my lender would not negotiate any deal on a reaffirmation, I decided to surrender my vehicle in my BK and as far as buying a car goes, I just took delivery of a new car this weekend.  Financed it with Cap One Blank Check program at better rate than my existing car loan.   I was approved 22 days after my discharge.   While still paying a higher APR than someone with stellar credit, I had to put nothing down and they financed the deal ($30k) 100%.  If you or your spouse has decent income, chances are you won't find it too hard to get back into a new car with financing.

 

** I dont recommending reaffirming anything** Just my two cents.   Remember, once you file, you are protected by the automatic stay and nothing will happen with the car.  Just drive it and save the $$.  DO KEEP IT INSURED.   The lender would have to motion with the court to seek to get the the automatic stay lifted in order to repossess the car if you surrender it.  My lender didn't take any sort of action until after the discharge.  They wouldn't even talk to me about it.

 

Good luck and don't feel so bad.... things happen, even more than once, that are out of anyone's control.   

 

PS.... I am not soliciting for them, but I am in Florida too and had a great attorney.  In south Florida.   Did a great job on my case.  In case you need a good referral.   Also, dealt with major, national auto dealership here in So. Florida and can refer you to them as they really helped with the financing of my car.  They were great and really worked to get my financing finalized and into a great car.  Even before I had my Blank Check documents from Capital One.

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I'm glad someone else jumped in.  Its been almost 10 yrs since we did BK 7, and I certainly can't answer all your questions, but I do have a couple comments.

 

I too recommend getting an attorney...at least go talk with a couple...most will give you a free initial consultation. 

 

Leave your open accounts alone.  If you need the money you're using to make payments to live on, stop paying. 

 

Note that the means test is based on "whole house income".  I think you could still file separetly if you wanted to, but the choice of BK 7 or BK 13 depends on both you incomes.

 

And, like @Paradise954 says, the car thing is a "don't worry about it".  Somebody will give you a new car loan quickly, if you've got the income to support the payments.

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2nd.. Three of my accounts are with one creditor.. and I am also the "primary" on my spouse's car note.. He needed my credit to get the vehicle... geez look at me now.. My car note is held with the same Credit Union as my credit card, and a signature loan.. do you think they will try to touch the car if I continue to make payments, and don't "stop" paying that loan as well as my spouse continuing to make payments on his vehicle?

This is your complication. You really need a lawyer. If the CU has a cross-collateralization agreement, they can force you to reaffirm that cc debt inorder to keep the car.

Student loans will just be near impossible. Do a google search using the term "the Bruner Test" that many bk courts use.You'll really be swimming upstream. As previuosly noted, you will be required to file an adverserial motion with the court and notify your SL lenders and then, both of you make your case before a bk judge.

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2nd.. Three of my accounts are with one creditor.. and I am also the "primary" on my spouse's car note.. He needed my credit to get the vehicle... geez look at me now.. My car note is held with the same Credit Union as my credit card, and a signature loan.. do you think they will try to touch the car if I continue to make payments, and don't "stop" paying that loan as well as my spouse continuing to make payments on his vehicle?

This is your complication. You really need a lawyer. If the CU has a cross-collateralization agreement, they can force you to reaffirm that cc debt inorder to keep the car. GREAT POINT

Student loans will just be near impossible. Do a google search using the term "the Bruner Test" that many bk courts use.You'll really be swimming upstream. As previuosly noted, you will be required to file an adverserial motion with the court and notify your SL lenders and then, both of you make your case before a bk judge.  AND IT SUX

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