Question on Bankruptcy

Hi everyone, I wanted to get advice of filing for Bankruptcy in California. Basically if I should do it or not. I’ve been told yes and I’ve been told no. Here’s my story:

On unemployment, (i bring in $358/wk) and work occasionally through a temp agency.
I believe my cc debt is about 21k
Living with family, just have to pay for food, my bills, gas, etc.
Own my car.
I do not have any 401k, IRA or retirement saved
I have $1k in a savings
I have another savings that I move money around in. When I get paid, I pay a bill, give myself $100 for the week, and put the rest in the savings, for when my large bills come in.

I essentially live with family, and two of them don’t want me there, so they try to make my life miserable. If I hold out, I can pay off the debt in two years, but others have advised me to file for bankruptcy so I can move out and take care of my mental health.

I would hold out as long s you could! You may get a better job…then you could get going faster…2 years of hell verse 7 years of bad credit…not sure that is a good trade off…does the bankruptcy effect your status of getting an apt down the road? Just my 2 cents! 🙂 Talk to an attorney. They are the only ones qualified to tell you if you
are eligible to file for bankruptcy. You have to pass a means test. I think you probably would since you are unemployed and have so much cc debt. Most attorneys will give you the first consultation free. So, that would be my advice.

If you’re living with parents and the “two that don’t want you there” are siblings, then perhaps they should move out? You don’t have a lot of income or assets, if you can, check out the Legal Aid centers to find out what would be good for your particular case.

Bankruptcy is not the only option. Keep in mind if you go see an attorney that specializes in bankruptcy. They will steer you toward bankruptcy, because that is what they do.

Educate yourself and consider all options.

  • Can you move in with a friend, partner, other relatives and tough it out for the next two years?
  • Consider the long reaching repercussions of bankruptcy, can affect [ future employment, loan request, credit request, even qualifying for an apartment] paying down debt?

Weigh all options but do not make decisions when mentally stressed. I know this is hard but you will come out stronger and wiser once you make it through this temporary situation.

You can do this, we are all here to support and share ideas.