Debt Collection Process

Anyone filed bankruptcy since the laws changed?

I need to file bankruptcy and do not know where to start. I do not have a credit cards. I have past collections I cannot get any of this caught up. What is the cheapest most productive way to file? Do I have to get an attorney ? I want to get rid of my financed car should I purchase my cash car before I file? I live in a rntal home cn I move to another rental after I file? Please advice from people with personal experience.

Public Comments

1. The first two questions you need to answer are: how much do I make and how much do I owe? If you make more than your state's medium income, you end up paying back the debt anyway, you just totally ruin your credit for 10 years. If you have the cash to purchase a car, can't you call up the collectors and offer to settle the debts? Go see a bankruptcy attorney to find out how your personal situation would play out in bankruptcy. Good luck to you
2. The new bankruptcy laws are a lot tougher than the old ones. You will need a lawyer to proceed and you will have to take whats called a means test. This basically says that if you make above the poverty level for your State, you must file chapter 13 and enter into a repayment plan with your creditors. Most bankruptcy lawyers first visit is free. Talk to one and find out if you can even qualify for chapter 7.
3. DONT DO IT!!!! visit www.daveramsey.com or listen to his AM radio show...seriously, no matter what your situation there ARE other options :) he is changing my financial life and he can change yours too!
4. According to the new bankruptcy law, a person filing bankruptcy must undergo credit counseling with an agency authorized by the office of the Trustee of the United States. Once the bankruptcy case is over, filers must undergo another counseling session to learn personal financial management in more detail. Restricted Eligibility: In the olden days, there was a choice between filing Chapter 7 and Chapter 13 bankruptcy. But the new bankruptcy law makes income as the criterion for filing Chapter 7. The average income of the filer for 6 months must be lower than the median income of their state.