I disagree the car won't be as good as new. Everyother part in the car is just as old as that transmission is. I'm saying this from experience I paid my car off at the beginning of last year. I keep getting a cracked radiator because of pressure build up and I have a bad head gasket. My mechanic told me not to even pay the $1000 to get it fixed because more than likely something else will give out. My car now is only worth about $1500 so I'm not even go put the money into it.
Starting Score: 535
Knowingly buying a car right before bankruptcy... Are you kidding? Never mind how bankruptcy court would view this, it is just plain unethical.
Your thought process shows a great lack of maturity, and I hope you will focus on getting yourself out of this hardship the proper way. I think you underestimate how much trouble a bankruptcy will be.
@jtmoy19607 wrote:there are 2 big student loans, if I can get rid of the one then that will take the 250 down to 150.
Are these your only bills? Are you paying rent/mortgage, utilities and all of that? The reason I ask is because you state your take home is $1900 and list the above as your bills, so that leaves quite a bit left over if you do not have any other living expenses. I bring this up for 2 reasons. First is that if you do the bankruptcy thing, you have to be able to show a major financial hardship, and with the current information, I do not see it. Secondly, would it be more feasible for you to fix your vehicle, and then start dumping as much money as you can into the unsecured loan that you have? That way you can get that paid off faster and then you would be able to puchase a new vehicle at that time since you will have paid off one of your debts. How much do you owe on that unsecured loan? Could you realistically pay it off in the next 6-8 months? Just throwing out a few options for you other than the whole bankruptcy thing.
@jtmoy19607 wrote:my thinking was declaring and spending that 8000 on the student loans but they will still be there. they are 21000 and 25000, I also have a couple small ones at 1700 and 3000.
I know things can seem umbearable right now, but I promise, these are not insurmountable issues. Okay, here is what I gather. If you filed bankruptcy, you basically would only be getting rid of $8000 in debt. Really, that is nothing considering the fact that you cannot include your student loans in Chapter 7. Okay, so let us say that the bankruptcy option is off the table for now and take a different approach. Are all of your student loans currently in deferment or will they become due soon?
#1: Sit down and add up all of your monthly bills to include gas, entertainment, cell phone.
#2: List out your income and see how much you have left over each month after all your expenses.
#3: Go ahead and start dumping as much as you can to paying off that unsecured debt.
And if you look at the above and you see where you can cut back on some things so that you can dump more money onto that debt, then be proactive and just do it. I am not going to lie, it is going to hurt when you do that very first payment, but you have to commit and just do it. Then I promise the next payment you do will be so much easier, and you will see that debt decreasing a lot faster than you ever thought.
If you need, I have a Microsoft Excel spreadsheet that should help you with steps 1 and 2. This way you can physically see how much money you would have left over each month. Let me know if you need it or have any questions.
