bankruptcy

According to the Chapter 11 basics Web site I looked at, some individuals can use Chapter 11.

The appropriate text is here: "The chapter of the Bankruptcy Code providing (generally) for reorganization, usually involving a corporation or partnership. (A chapter 11 debtor usually proposes a plan of reorganization to keep its business alive and pay creditors over time. People in business or individuals can also seek relief in chapter 11.)"

 

i don't believe you can BK student loans.

 

Yes, they don't touch student loans -- at which Mrs. RB and I have to the tune of, gulp, $95,000 for two BA degrees.

RB

 

fuck. sorry to hear that.

just do it. get rid of everything else and focus on the SLs. the first chance you get to start rebuilding your credit, which probably will be two years (a card), do it, but ask for a low limit so you don't get behind the eight ball again ... but i'm sure you already know that.

 

Aren't you, like, 24 or something?

 

Been there, done that, now 11 years ago, so it's off my credit. Make certain you remember all of your debts, list everything, including that $20 you owe a relative. Legally, you can't pay it back (even though you will anyway) if you declare it, but failing to declare it can also get you in trouble. My creditors didn't show up for the meeting (except for Sears)... but the judge asked about loans from relatives, etc... made it seem like it would have been a problem.

As far as bouncing back, I had a car loan in 10 days (at an awful rate) and a credit card in six months (believe it or not, from one of the companies that I failed to pay back)...

When you get your discharge order, keep it! Even when your credit report shows the discharge, you will have people (car dealers, banks, apartment complexes) ask to see it for verification.

PM me if there are specific questions I can possibly help with. One thing, I did all this before the law changed, so some rules/regs may be different.

 

I find it fitting.

 

I'll be 24 in six days, but student loans start coming in this month. I only graduated in May, 2008.

 

File for a forbearance or deferrment.

 

Oh, I'm not worried about not being able to pay them. I'm only looking at $198 or so a month. I was just speaking hypothetically.

 

I just had mine discharged in September.

Mine was from lingering debt from my divorce from my free-wheeling spend-a-holic ex wife, who decided not to pay me her share of the debt once the divorce was final... After a couple years of trying to make the payments all by myself, I finally decided to break down and file for bankruptcy.

The hardest hurdle for me was the heavy weight of irresponsibility I felt. Ninety-five percent of the debt was from my ex, but I still felt like a leech filing for bankruptcy.

My only advice is to be as meticulous as you can, follow the advice of your lawyer, and mentally put it behind you as soon as you can. And then start rebuilding your credit one day at a time after the debt is discharged.

Good luck, rb.

 

How much is credit affected by a bankruptcy?