Personal Bankruptcy Chapter 7 after a divorce

[watjust]

I live in Ga. I've recently become divorced and have sole legal & physical custodyof my two children from the marriage as well as my stepdaughter. Needless to say, the promises that were made were not kept during the course of the marriage. I'm 25,000 in credit card debt and do not see a way out. My income barely alows for the payment of the mortgage, household bills & food for the children. My question isI'm seriously considering filing for Chapter 7 because I can not see any other options at this point. The minumum payments for all the credit cards were a minimum of $850 and there is no way I can pay it back. Can I file by myself because I do not have money for an attorney. Secondly, I have no assets except the house,no 401K,no savings, no car loan, will I be able to keep our home so we can live.

Thanks for your help.

 

[mike]

With regard to bankruptcy and with just about anything, you don't need a lawyer although they can be helpul in many circumstances. The cost to file is $200 (which is waiveable for people who receive public assistance or are below the poverty level) but you should probably look at the differences between Chapter 7 and 13, although most choose Chaprter 7 because it discharges debts as opposed to setting up a payment plan. If you are behind on your mortgage you may have a problem with Chapter 7 since you'll have to pay it in full or your house may undergo foreclosure. Chapter 7 is essentially a liquidation of most assets. Under Chapter 13 you can pay the arrears with the payment plan that will eventually be set up. It is possible to lose your home under Chapter 7. I'm not sure if the amount of equity in your home will make a difference as to whether you can keep your house and continue to make payments. The first key is making sure you are current with your mortgage payments under Chapter 7.

Good luck to you. Hang in there and hopefully you will find a way to make things work.

I live in Ga. I've recently become divorced and have sole legal & physical custodyof my two children from the marriage as well as my stepdaughter. Needless to say, the promises that were made were not kept during the course of the marriage. I'm 25,000 in credit card debt and do not see a way out. My income barely alows for the payment of the mortgage, household bills & food for the children. My question isI'm seriously considering filing for Chapter 7 because I can not see any other options at this point. The minumum payments for all the credit cards were a minimum of $850 and there is no way I can pay it back. Can I file by myself because I do not have money for an attorney. Secondly, I have no assets except the house,no 401K,no savings, no car loan, will I be able to keep our home so we can live.

Thanks for your help.

 

[watjust]

I am current on my mortgage payments. I can't lose my house. I can afford my home & household bills but the credit card debt that was left is too much to handle. I'm not able to take on another job becuase I am a single father of three, no time to go to another job, plus no relatives to helo with the children. Again, I can't lose my home, please advise.

 

[jack900]

Why can't you refinance your house and get extra $30,000 to pay off your credit debt? Your mortgage payment will probably added extra 50 to 100 dollar more perhape. Check with a loan agent.