After a lot of work getting prepared my attorney filed my CH 7 this morning.
Here's the background:
1 year ago my scores were in the 780's and I was a partner in a succesful transportation business doing $20 million a year in revenue. I used my cards regularly for parts and other expenses, racked up the rewards and vacationed well. Life was good.
Late last year my banker came into my office to let me know we had a major isse and the company owed the bank more than $4 million and was in default. We partners had signed PG's on the bank line on a $1mm credit line. Come to find out one partner had the line increased, signed our names and racked the debt up while "creating" the collateral that was our Accounts Receivable. As we dug deeper we found that the financials had been doctored for about 2 years showing we were doing much much better than we actually were. We were actually losing our butts and he was covering it up rather than provide accurate information to us. We worked with the lender to sort it out and continued on for about 8 months under forebearance agreements. In the end the lender gained "lender fatigue".
All said and done I had more than $200k in personal and PG'd business debt related to the business and more than $7mm in PG's.
It is quite complicated how we got here but I was left with no choice.
I met with my attorney, a very very competent BK attorney, and we began planning for the filing.
Only I am filing, DW does not have to because she was not party to any of the debt obligations. We do not have any equity in our home because of another business credit facility so there is no other community property to be concerned about.
I am looking forward to being through this part and moving on with life. Definitely some very hard (and extremely expensive) lessons learned. Hoping to start feeling that burden lifted.
I am sorry to hear about the situation that led to your BK7. While my situation did not involve any nefarious activity from others, I can say that once the process was over it felt like a new life. In my case, DW came down with a nasty case of Leukemia so after fighting the disease for 3 years and taking a 75% pay cut to be with her through it, there was little I could do to avoid the inevitable. But, since she has been recovering nicely, I was able to jump back into my profession and we are doing quite well.
I guess the entire point of this post is that it is a stressful experience until you get that letter stating your debt has been discharged. Keep your head up and just know that the grass is actually quite greener on the other side of discharge.
341 scheduled for 1/4/18. Only problem is that I am scheduled to be out of town. Attorney says it's no issue, not a probelm to change it.