CH7 discharged today!!!

[user365735]

Also, did your have to disclose the car sale? List it on the paperwork? Sometimes I wonder if the courts will even take the time to go through paperwork with someone like myself. No assets making 40k....no money for the trustee....

[masscredit]

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@user365735 wrote:

Also, did your have to disclose the car sale? List it on the paperwork? Sometimes I wonder if the courts will even take the time to go through paperwork with someone like myself. No assets making 40k....no money for the trustee....

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From your other question, it was probably going to be exempt anyway. One of the questions is if any property was sold in "x" amount of time. The car was a big one so I wanted to make sure they know. I think simple bankruptcies like yours go through a lot smoother than one with a lot of assets and much higher income. My income is under the guidelines so no problem there. All credit card debit and no property. Something a number of attornies told me was how much the trustee makes. I don't remember the numbers but they don't get much from CH7 BKs. So they probably don't put a lot of time into looking them over (I thought they went over things very throughly). The trustee makes more from CH13 BKs. 

I just opened my official mail. Time to file that in my safe and look forward to the BK falling off in 10 years. Actually, I'll try for an early exclusion a few months before that.

[user365735]

Congrats. I hope mine goes just as well. I am scared as beep. Im like 100k deep from stupid careless mistakes. About 15k is medical but I have no excuse for the rest just stupidity. I don't have any property. Just a car to my name. What are your plans now? 

You might of got lucky selling your car. From the reading I'm doing the blogs say the trustee "could" cause issues with that.. they frown upon taking assets and flipping them to another asset from my understanding. I'm gonna try to sell some small things on Craigslist just for ahem, beer money to keep me sane but that's all Im doing..the trustee can have everything else. Is that what you did for cash?? I just want $500 spending for 30 days :/. I'm worried I don't make that much and they can say i had this money but spent it in preparation of filing...

[masscredit]

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@user365735 wrote:

Congrats. I hope mine goes just as well. I am scared as beep. Im like 100k deep from stupid careless mistakes. About 15k is medical but I have no excuse for the rest just stupidity. I don't have any property. Just a car to my name. What are your plans now? 

You might of got lucky selling your car. From the reading I'm doing the blogs say the trustee "could" cause issues with that.. they frown upon taking assets and flipping them to another asset from my understanding. I'm gonna try to sell some small things on Craigslist just for ahem, beer money to keep me sane but that's all Im doing..the trustee can have everything else. Is that what you did for cash?? I just want $500 spending for 30 days :/. I'm worried I don't make that much and they can say i had this money but spent it in preparation of filing...

I'm just going to let the cards that I have age and watch my scores improve over time. The TD Bank and SDFCU cards will graduate. The TDB should do that in December. SDFCU might become unsecured in May 2023. I'm hoping I didn't secure that with too much money. I read a post that said it's less likely to become unsecured, or might take longer for higher amounts. I'll replace the OpenSky and Andrews cards with better options when they are avaialble to me. I wish I could find an SSL that I can immediately pay down to less than 9% without accellerating the final due date. For now I'll be happy with the one from Andrews. At least I have a loan in the mix. 

I interviewed a number of BK attorneys before I filed. I felt some were trying to sell me on their services, some seemed too relaxed then I felt one that was just right for me. I felt comfortable with the initial conversation. He answered my questions without telling me others wouldn't be able to help me.  But from most of those interviews, I took a little bit of info from most of them. Some of that was about the car. I was pretty firm on keeping it. That would have meant I had two cars. One worth about $7500 with no loan. The other was worth $26000 in this market. It was worth about what I owed on it before the used car market got hot. That was in the $19K range. It would have been a fight to justify keeping it but they said it could be done. There would have also been more questions about filing BK while having those two cars. It made sense after one of the interviews. That and I'd save $500 between the car payment and insurance. Then add at least $300 per month for gas. That put a whole new light on the situation. I could sell the car, save myself another $800+ per month. That was on top of the money I was saving by not paying my cards. Not totally as good as it sounds because I was upside down with those payments and eating up savings to pay them. But it went from me being on the edge with my budget to being very comfortable, not having to visit all of the food pantries in the area each month and being able to save money. I still visit some of those pantries though. A good way to save a few hundred dollars for food each month. So selling the car was a good thing. Do I miss it? Yeah, sometimes. I'm a car guy so that's my thing. But I don't miss having to pay $6 per gallon for premium then possibly blowing through that in a day or two sometimes. 

Other than that, I keep a strict budget. I know how much money is in my checking account on the first of the money, how much all my bills will be for the money. I allow myself $100 per week for spending money. I put money away for things like Christmas, taxes, travel and other expenses.I follow that budget and know how much I will have at the end of the month. And I make it a goal to spend less than I plan for. That works most of the time but gas prices have been a challenge lately. And the most important is saving money. I like to see my savings numbers increase every month. That helped with me being able to get secured cards with healthy limits.  So I'd say a budget is at the top of the list for things that will help you financially. You see where the money is going instead of just spending money randomly. You then set limits like what I did for spending. I pay attention to what is turned on in my house. My electric bill ranges from $55 to $105 per month depending on the season. It's higher with the AC on during the Summer (1400SF home). 

[user365735]

Did you ever do any atm withdrawals? How often and amounts? No issues with the trustee??

[cynicaldragon83]

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@masscredit wrote:

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@user365735 wrote:

Also, did your have to disclose the car sale? List it on the paperwork? Sometimes I wonder if the courts will even take the time to go through paperwork with someone like myself. No assets making 40k....no money for the trustee....

---

From your other question, it was probably going to be exempt anyway. One of the questions is if any property was sold in "x" amount of time. The car was a big one so I wanted to make sure they know. I think simple bankruptcies like yours go through a lot smoother than one with a lot of assets and much higher income. My income is under the guidelines so no problem there. All credit card debit and no property. Something a number of attornies told me was how much the trustee makes. I don't remember the numbers but they don't get much from CH7 BKs. So they probably don't put a lot of time into looking them over (I thought they went over things very throughly). The trustee makes more from CH13 BKs. 

I just opened my official mail. Time to file that in my safe and look forward to the BK falling off in 10 years. Actually, I'll try for an early exclusion a few months before that.

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I'm going through a BK7 now. I was told that trustees in BK7 cases get paid $60 per case, plus a 10% finders fee if there are assets to sell. Obviously, they go through no-asset cases pretty quickly when it's apparent there are no assets to sell.

[masscredit]

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@user365735 wrote:

Did you ever do any atm withdrawals? How often and amounts? No issues with the trustee??

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Oh yeah, usually once, maybe twice some months. I don't remember the amounts but less than $500. Even though you are filing for BK, you still have to live your life. Just do what you usually do. You should be fine as long as it isn't something like pulling out $10K in per month. 

[user365735]

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@masscredit wrote:

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@user365735 wrote:

Did you ever do any atm withdrawals? How often and amounts? No issues with the trustee??

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Oh yeah, usually once, maybe twice some months. I don't remember the amounts but less than $500. Even though you are filing for BK, you still have to live your life. Just do what you usually do. You should be fine as long as it isn't something like pulling out $10K in per month. 

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Really? And the trustee never question the cash withdrawal at all? Did he question anyone during the 341?

I am just planning on 2x a month maybe $300. I useally do free ATMs and they either max at 300-400..

[SUPERSQUID]

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@masscredit wrote:

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@SUPERSQUID wrote:

Congrats, take a deep breath and enjoy being debt free a while, i didnt start applying for credit until 9/10 months post bk7 dc.

In my case i found the paperwork a little overwhelming, but it could be a state by state thing. i had to get estimates on car/home values , make copies of a few years of tax returns, find the cc addresses and it sounds easy but some cards have multiple addresses and if the legal paperwork is sent to the wrong address it opens up a can of worms. listing every item i owned and its individual value was no picnic., just to mention a few things.

My bk7 went thru rather easily because i became suddenly totally disabled and my income went down to 1/3 of what it was.

I hung on by my fingernails for 2 years after i was disabled so i blew through my 20k + savings and was flat broke so i had no choice but to go the subprime 300 limit route, it worked well and after 2 years i started getting good cards and limits.

Regardless of the limits on secured cards some lenders will view that bk7 on your reports like the plague.

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Thanks! It definately feels good!  My situation was going on for awhile before I filed. This weekend I remembered "It's over". I'm back to being normal. Yeah, my scores aren't great but they are going in the right direction. I should have all three in the mid-upper 600s in the next two years. Something a lot of people said and they were right... I should have filed sooner. I should have because I would have been a year ahead. 

My paperwork was pretty easy. My attorney provided me with a list of everything he needed so I took a few days to work on that. A lot of it was basic. Like, one bill from each creditor. The most work was sorting through a bunch of mail (99% was unopened) to group actual creditors with attorneys and collection agencies that were handling them. I probably provided more info than he needed. For things that I own, it was just general. Like, he asked "Do you think your clothes are worth about $500?".  And "How much to you think you'd get for all of your furniture if you sold it on the front lawn?".  Much better than trying to figure out everything seperate. 

Sorry to hear about your total disability. Hopefully things improve for you.

USPS tells me I have mail on teh way from the Bankruptcy Court. I almost want to frame that!  I mentioned all of the unopened mail from creditors, I'm going to get all of that together today and burn it this week. Fresh start!

I was kind of courious so I checked the Cap 1 and Discover pre-qualification pages today. The message I received from Cap1 was - 

Based on your Pre-Approval form information, there are too many delinquent past or present Capital One credit obligation(s).  Discover said they didn't have anything to offer me. I'll receive a letter in 7-10 days.

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Cap 1 let me back in at a year + after bk7 dc. i burned them for 5k in bk7. right now between QS,SO and Kohls i have 7100 cl.

I read a lot of posts on cap 1 and the consensus is 1 year post bk dc they will let you back in, ymmv.

good luck on your journey

[masscredit]

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@user365735 wrote:

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@masscredit wrote:

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@user365735 wrote:

Did you ever do any atm withdrawals? How often and amounts? No issues with the trustee??

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Oh yeah, usually once, maybe twice some months. I don't remember the amounts but less than $500. Even though you are filing for BK, you still have to live your life. Just do what you usually do. You should be fine as long as it isn't something like pulling out $10K in per month. 

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Really? And the trustee never question the cash withdrawal at all? Did he question anyone during the 341?

I am just planning on 2x a month maybe $300. I useally do free ATMs and they either max at 300-400..

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Nope, nothing at all. And there was no one else part of the meeting except for my attorney listening on his end. Most of the questions were about my name, address, and if the info I presented was correct. I have to eco what many others have said in other threads. I worried for nothing. And, as I said earlier, I should have filed sooner instead of putting it off.