Help? Just found this website and have some questions

Date: Thu, 09/18/2008 - 18:36

Submitted by anonymous
on Thu, 09/18/2008 - 18:36

Posts: 202330 Credits: [Donate]

Total Replies: 1

My wife and I bought a home(350K) in 8/2005 and have an $2500 mortgage payment between the first and the heloc. We also have about $50k in credit card debt. The house is only worth about $225k today, a loss of $125k. My job is now slower and producing less money than in the past and it is becoming impossible to pay on both the house and the CC bills. We both have jobs and still make about 60-70k per year but can't pay everything. My thoughts are to declare bankruptcy or debt settlement to get rid of the CC bills and hope we can stay in the house or to just get rid of the house and move into a rental, plenty around for at least 1k per month less than we are currently paying. Any advice would be appreciated.
Thanks

PS. Currently my credit score is still just under 700 or pretty good, and we have not missed any payments yet...

If you're not finding any way out to get rid off your debts then

If you're not finding any way out to get rid off your debts then bankruptcy can be a viable solution. In this forum you'll get many posts where people have said that they are now doing well after going through bankruptcy.

But personally I prefer to avoid bankruptcy and in that place debt settlement seems to be a better alternative. At the same time, the bankruptcy laws have also become more stringent and thus has become difficult to qualify.

Now, coming to the question of keeping your house or shifting to a rented house. It is completely your prerogative and it is only you who can decide whether you want to live in your own house or wanna shift to a rented one. But if I was you, then I would have opted for the former. If I am to file for bankruptcy then I would have preferred Bankruptcy 13 than 7.

But first of all look into the pre-requisites of qualifying for bankruptcy 13: -

Now the question comes who are the people who fit correctly for this program?

Do you know the advantages and disadvantages of Bankruptcy 13? Please read the following information: -

lrhall41

Submitted by phoenix on Thu, 09/18/2008 - 20:03

( Posts: 1445 | Credits: )