Should I file bankruptcy?

I am 21 years old when I was 19 I bought a car and took out a loan for it. Then six months later I lost my job and soon after I surrendered my car up to be repossessed. Then like six months after that I got a letter saying I owed the company over seven thousand dollars for the money they lost. also at the same time my sister who was 16 ran up my cell phone bill and i had to disconnect it. adding another 400 dollars to the already 900 dollar phone bill. Since I lost my job I was not able to pay these bills and when i finally did find a job I barely made enough to cover the bills i had. now I am just wondering if it would be easier to just file bankruptcy and start over or should I try to pay the thirteen thousand dollars. With all the stuff on my credit it comes up to a little over thirteen thousand dollars in debts. What do I do?

Technorati Tags: bankruptcy, cell phone bill, debts, dollar phone, job, money, six months, thousand dollars

Posted July 23rd, 2010 in When To File Bankruptcy. Tagged: bankruptcy, cell phone bill, debts, dollar phone, job, money, six months, thousand dollars.

3 comments:

Avery Lloyd:
I would visit http://diylegalinfo.com/bankruptcy_Links.html They have a lot of good information on bankruptcy questions.
July 23rd, 2010 at 4:37 pm
hmmmmmmm....:
Pay the bills! Call the car company and work out a payment plan, do the same with cell phone company. Also, the bankruptcy laws have changed a lot and you may not even qualify to file even if you wanted to. If you are working now and the court speculates that you will be able to repay your debts, you won’t be able to file. You are young, don’t let something like this ruin your future chances for a mortgage or possibly even your career. Good Luck!
July 23rd, 2010 at 4:37 pm
Bryan:
I don’t think you should file bankruptcy. You are only 21 but bankruptcy will haunt your credit for 7 years. I don’t think $13,000 is worth a tarnished credit report. (Which affects your ability to finance a new car, house, etc.) $13,000 is a lot of money, but definitely something you can pay off. You will have to budget every month, and free up any money that you can and pay off the debt as quickly as you can. Life will be a little rough, because you will be sacrificing the things you ENJOY doing. But you need to think ahead to the huge weight that will be lifted off your shoulders when you are debt free. Realistically, depending on how much you make, you should be able to pay it off in less then 2 years. That’s a lot better than 7 huh?

And one more thing…when you are debt free, stay that way! SAVE money and pay cash for what you want. You won’t have creditors running your life anymore.
July 23rd, 2010 at 4:37 pm