Monthly Archives: November 2015

Question about filing bankruptcy

I’ve been going back and forth in my mind the past year or more whether I should or should not file bankruptcy.

I finally had a friend give me someone to talk to that would be honest with me. His suggestion is that I find a place to rent, file bankruptcy in which he has someone that will work with my husband and myself every step of the way to get through this. He says in 2 years he can help us raise our credit score and help us finance our own home. Does this sound right? Does it sound like something that I could count on happening? He told me I shouldn’t feel bad about filing and that if I wanted to pay back the debt all I had to do is call up the place and pay them…? His last comment was since it was $15,000 debt that I was wasting my time looking for or going through a credit couseling service.

Is there anyone that can really give me some good-honest advice? It sounds to me like the person that you talked to has something to gain by talking you into filing bk. Don’t know, but thats the way it comes across. You need to talk with several professionals. Talk with 2-3 different credit counselors and 2-3 different bk lawyers and then go from there. personally I don’t think 15,000 sounds like enough to file bk over, but I don’t know your situation.

We filed bankruptcy back in October. The paperwork was not too hard. Download the pdfs from the bankruptcy courts’ site. We filed a waiver of filing fee and the judge approved it. We no longer have all of that interest to pay and we now don’t have to pay that $1800 per month in monthly payments and are holding our own. As for paying back the debt, I would be more concerned about the small businesses we borrowed from such as for medical bills but not the big corporations as they don’t care about us people.

Now my husband and I are in about $11,000 worth of debt. We barely have enough for our bills. I budget weekly and we are doing everything we can….but unexpected expenses keep popping up and it’s just really hard to get this debt cleared off! I’m feeling very frustrated and scared. What can I do? Since our interest rates are already low (3.99%, 7.99%, 10.24%, and 11.24%), they can’t help us.  They cut to 9%,and because of that the payment would actually go up.  I’ve gone through the process with CCCS and Take Charge America.  In both instances, the payment went up about $300 a month.

Sounds like your income is low right now

Low incomeAlso, sorry, duh, just saw your budget. Sounds like your income is low right now because of economy not choice, so yeah, part-time work would help. Even just delivering pizzas.

Agree completely with Jill. Your car payment is WAY too high. If you can, I suggest you sell the car and buy a used one. When my car got totaled last year, I went the used route and bought an 11-yr-old used VW in VERY good condition for $4K and it runs like a top.

Also, some of your other bills are way too high. You’re spending too much on gas, according to what you say your commutes are. My commute is 25 min one way and I spend just $100 a month in gas on average. And I live in L.A. where gas is pricier than in most other places.

Also groceries. Too much, especially since you can cook more in bulk when you have two people… make leftovers. I eat organic fruits/veggies and spend about $130 a month. What are you buying at the store? Can you make more from scratch, reduce meat purchases, etc? Use coupons? Shop sales?

You didn’t post any of your other spending habits. Is there any way to trim back on those? Stop eating out, purchasing coffee at work, going to movies, etc?

You also didn’t mention electric, but you can reduce that by a few bucks too by unplugging everything you can when not in use. Your TV, any side things like printers, sewing machines, hair dryers, etc. It will save you a few bucks minimum a month, maybe more (I cut about $10 off my bill just by doing that one thing). It sounds nuts, I know, but it does work.

Dealing with lying agent from credit card company

So I knew I was going to be 1 business day late on a card payment (due on a Friday). I called Bank of America and explained my situation. I needed to transfer money from one bank to another to pay it–because of my work hours I was unable to get to the bank to do that. I attempted to do it via the internet, but since the account was not yet set up online from my credit union I couldn’t do so. Had to go into the credit union to do that also.

At first the BOA person was rigid and cold with me, and told me to go do things on my lunch hour. I explained that I am a teacher and have no lunch hour (children are in my room with me at that time), and she softened (or so I thought). She got off the line for a minute, then got back on and told me she took care of things and I could pay it as soon as possible. I was able to get to the credit union on the next business day (Monday), transfer the money and pay the credit card bill online. The BOA person clearly said I would not be charged the late fee. The bill was due on the 12th (Fri.) and paid the morning of the 15th (Mon.).

So my new bill came today and lo and behold, there is a $49.00 late fee. If I call and complain, will it do any good? I am already strapped too thin and can’t afford to pay that on top of everything else. I thought if I contacted them ahead of time and worked out a payment that they would cut me a break–or at least stick by their word when they said they would!

I’m assuming that you’ve already taken care of this, since it looks like you posted in January.

Generally speaking, though, I always call and tell them what happened. The same thing happened with me this weekend with DirectTV. I called them last week to tell them that I needed to postpone my payment a few days until I get paid on the 5th. The guy said that I couldn’t change my payment date, but I could un-enroll in Automatic Payment, and then pay when I was able. I confirmed that the payment due at the end of Dec. wouldn’t be taken, and he said it wouldn’t.

I check my balance of my checking account on Saturday, and it’s negative, because the payment came through! I called, complained, and finally, they said that they would talk to my bank and reverse the payment. They’re able to at least see that you called and there should be notes on what you discussed, so if this happens again, I say to definitely call and set them straight to (hopefully) keep them honest. I would call BOA and ask to speak to the executive resolution office. Or even better file an online complaint with the BBB which will automatically go to the executive resolution office.