Before I File Bankruptcy, is there anything I can do?
I have like a 10,000 dollar accident debt from getting in an accident without insurance. I was under 18 at the time and my parents filed bankruptcy but it came back to me when I turned 18. I plan to file bankruptcy because with the amount and the interest on that amount it would take me way to long to pay that off…but I was wondering if I should load up some credit cards or something before I file, just to get something out of it. My credit bad already apparently so it doesnt look like I can get any credit cards or even loans. Any advice?
Im only 18 and I feel like these are my prime years, I dont want to work full time for free basically to pay off some stupid debts. I would rather pay the 1,000 dollar bankruptcy and deal with bad credit for awhile. I guess Im more so asking if theres anything I can do before that to get something out of it.
I dont know how it came back to me, but my mom sent the a letter to the judge showing where in there bankruptcy thing it showed it got rid of that debt but they still said I was responsible.
Try out a credit counseling service. This will prove to them that you intend to pay your bill. Many times on these programs, they are able to talk to the person/people to whom you owe the money into dropping the interest completely and allow you to make affordable monthly payments on your debt. I am not sure of your location, so I can’t recommend a specific company. I would look in your local phone book or google for credit counseling services in your area. Just make an appointment and tell them your honest situation. They take it from there.
May 29th, 2010 at 11:48 amI think it would be really good for you to look into a Financial advisor. A good program to invest in is called Financial Peace University. It is aimed at getting you out of debt, keeping you out of debt, then having some to either give or save. Don’t rack up other credit cards. It isn’t going to help your credit at all.
Bankruptcy may look like an easy way out, but if you can turn your financial situation around, you may find that it is more rewarding.
Good luck!
May 29th, 2010 at 11:48 amSince you were under age this shouldn’t be coming back to you. Before you go jumping off the bridge and gettting yourself further into trouble and debt I would seek some legal advise in your state. If it were me I wouldn’t mess up my credit until I clarified this because you if you haven’t messed over the credit card companies they will more likely extend you credit later.
May 29th, 2010 at 11:48 amFirst of all, you should never file bankruptcy unless you owe more than $65,000 because that ruins your credit report and you can’t get a loan for anything like a car, and some apartments won’t let you in if you’ve filed bankruptcy, but most of all if you’ve had a bankruptcy that will ruin your career and your income in the future. a bankruptcy doesn’t only cost $1,000, it costs the filing fee, your attorney, your time and transportation, and your entire amount will not be removed, you’d still owe on it because a few years ago a law was put in place wherein the judge will change your Chapter 7 to a Chapter 13 and insist that you make payments on that amount you owe. And, that law also said that within 6 months of filing your bankruptcy you must go see Consumer Credit Counseling. This CCC group is federal and should not charge you a fee and they attempt (but don’t always) reduce interest on what is owed. So sounds like bankruptcy isn’t going to work for you. If you begin to work or are working then your wages could be garnished to pay that bill, depends on what the court determines is right, they could also place a lien on anything you own already (like your car) or in the future (like a car or a house). They can make you sell any assets to pay for that bill.
If you’re going to college now you could pay that debt easily after college even with the interest on it that you’d be charged.
I’d be wondering how you got this debt since you said your parents went bankrupt (didn’t they include that in their bankruptcy?).
May 29th, 2010 at 11:48 amA bankruptcy will keep you from getting good jobs.