Have you ever filed Chapter 7 bankruptcy? Or Chapter 13?

[closeupready]

If so, how was your experience with it?

Do you regret doing it? Or do you regret not doing it sooner? And just interested in your experiences with the process generally, or whatever you want to share relating to debt and bankruptcy and how it impacted your life.

Thanks in advance.

[Liberal Veteran]

1. I'll let you know in a few weeks.

Yeah...I've already retained an attorney for it. My filing comes next week.

[closeupready]

2. Good luck!

Can you explain a little bit about how things got to where they are, and/or what led you to seek out an attorney?

[Liberal Veteran]

3. Things spiraled out of control.

Had my job outsourced twice. Got an AIDS diagnosis. Had a heart attack. Used my credit cards to help make ends meet while going to school to retrain. And honestly, some bad choices at times.

It got to the point that I knew that there was no other way to get out from under the debt. Having my last job outsourced came at almost the same time my doctor told me I needed to see about applying for disability. Between credit card debt and medical bills, I just got in over my head. Even with insurance, a 5 day stay in the hospital and an ambulance ride can be expensive.

And losing my health and income at the same time the final blow.

[closeupready]

4. Please do check back in here after things have progressed for you.

I'd be interested to know how things turned out.

Sending you hugs.

[RebelOne]

5. Done both.

I filed a Chapter 7 in 1989 because I got into deep credit card debt. Then I filed a Chapter 13 in 2008 for the same reason. I paid all my debts through the courts and I have been debt free for several years now. I will never have another credit card again. Everything I own is paid free and clear.

And I have never regretted filing bankruptcy. Chapter 7 is great because it wipes out all debt. But I had to file a Chapter 13 because I was working and collecting social security and I had money left over after paying bills so I could not file for another Chapter 7. But that was OK because I had two judgments on me, and it kept the collection agencies off my back.

[closeupready]

6. Thanks, glad to hear things are going well for you now.

[HeiressofBickworth]

7. Just a tip:

I used to be a bankruptcy paralegal way back when. We advised our clients NEVER speak with a creditor once bankruptcy has been filed. Based on the conversation, a creditor may be devious enough to go to court to claim a re-affirmed debt. We told them if a creditor calls, tell the creditor to call your attorney and then hang up - say nothing else.

Some creditors are honest businesses, but I've seen others. One trick used by the unscrupulous was done at the time of the loan. The borrower was asked to list ONLY major debts. Based on that, the borrower only listed major debts. In bankruptcy hearing, the creditor claimed fraud on the part of the borrower for not disclosing other debts. And since the instruction to list "major" debts only was verbal, the borrower had little defense to the claim of fraud. Debt based on fraud is not dischargeable in bankruptcy. I'm not current on bankruptcy law but I hope this loop-hole has been closed.

[closeupready]

8. Question for you: wouldn't it be a criminal offense for a creditor

to contact a debtor after the creditor has been notified of the bankruptcy filing in federal bankruptcy court? Seems like that would be a very serious matter, subjecting them to possible fines or more.

[HeiressofBickworth]

9. As I stated in my post,

I'm not current on bankruptcy law, but way back when (1970's), there was no law against it that I knew of. Unsecured creditors (or at least the devious ones) were looking for ANY way to avoid being discharged (i.e., not paid) in the bankruptcy. Claiming a re-affirmed debt kept the creditor in line for payment out of any distributable assets. It was prudent advice to clients to never speak with creditors after filing.

[closeupready]

10. Ah, ok.

Thanks.