Bankruptcy

[Demigod]

My brother has got countless credit cards hounding him and several are treatening to garnish his wages and types of shit like that. He said he's gonna file bankruptcy but wasn't sure what it's all about.Me neither.... Anybody know how it works and if it's worth it as far as getting outta debt and all that?

He's also paying on a house...somebody told him he could file and keep the house but that doesn't sound right to me.

 

[buffness]

it's a very ruff call on this one..My sister has filed before and everything turned out well..but I have heard of those others that have gotten really screwed. Contact a law firm and have them tell you what would be the best thing to do..

 

[goes4ever]

my brother filed yrs ago, so I am not sure if laws have changed since then, but he was allowed to keep one car and his residence, I imagine laws vary from state to state

 

[Demigod]

Yeah....I told him his best bet was to call a firm that specialized in that shit.

 

[Supertech]

I would try using a credit counseling service first.They work with your crediters and they combine all your bills into one payment.

 

[Q-BaLL]

i know there a way to file and still keep ur house but i really dont remember....tell him to call a lawyer

 

[ronb]

The best thing for him to do is talk to a bk lawyer. Each state has their own laws. Does he want to file a chapter 7 or 13? A 7 wipes out all debt but his credit will be shit. Try getting a new car etc. A 13 won't be much better but a 13 is a 5 year plan to pay back the debt while stopping all interests and penalties. They can tap into his salary if they get a judgement against him in which case he'd have no choice but to file. This is not a game so have him speak to a lawyer asap. Also multiple credit cards is like asking for trouble. Get rid of them! i will never have another card. i went thru a 7 and am in a 13 so i can't get a card. i don't want one either.

oh in most states they can't touch your residence but that's not in stone. again get legal advice!

 

[marcus]

I would try using a credit counseling service first.They work with your crediters and they combine all your bills into one payment.

good first start as is contacting a lawyer--I was involved/managed two turnarounds of a 20 and 70 million dollar company. neither time bankrupsy was filed.

its a last resport for businesses. Personally i dont know but I do know that crredit card companies will gladly shut his credit down and allow very small payments to be made as long as hes payin.

everythings negotiable they want the money and usually are willing to take anythign they can get--if he chosses to try to cut deals with the credit card companies--make sure he communicates with them frequently-not calling is the worst also he may want to try to settle some by offering a lump sum for less than full value such as he owes 5 k and offers 50cents on the dollar--200 good faith down payment and 150 a month until its gone...etc..

wish him good luck for me

 

[Demigod]

Thanks for the advice all....I'll print this post out and pass it on to him.