I think I can help ease your mind. I felt the same way you did before I filed and thanks to a friend, it was the best thing I ever did. Life is too short to be stressed out about the debts and it is peope like you who have paid their bills all their lives that deserve a break when things go south through no fault of your own.
You can file for a chapter 13 and reorganize your debt. Under this plan you would keep your house and pay the unsecured creditors pennies on the dollar based on your income and set up a 3-5 yr payment plan.
Or you could file a chapter 7, if your income is at or below the family median income level in you area and get rid of all unsecured debt completely. You may be able to keep you home under a chapter 7 but you have to make sure the home is your primary residence. It cannot be investment property, which is not exempt in a Chapter 7 filing. Next, you have to look to how much equity you have in your home. If the equity in your home is low enough for exemption under state or federal law, and you continue paying on your home in a timely manner, you should be able to keep the home.
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I am not sure what is troubling you about the bankruptcy. If you want to discuss it further at no additional cost, please write back and I will try to assist you further. If you want to consult a bankruptcy attorney in your area, you can go to www.lawyers.com or www.martindale.com and type in your zip code. The other types of experts that may be able to help are debt consolidation companies but a lot of them are unscrupulous.
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