Hello, my name is XXXXX XXXXX X would love to assist you. Give me a moment to research your issue and I will answer promptly.
First, how many people in your household?
They are technically both right, but I would more lean to the first attorney.
Banks can file deficiency claims, but they do not do it often.
Part of the reason is that they only have a limited time to do so, and most either forget or let it slip by.
The other reason is if they write off the full deficiency, they get a bigger tax break, rather than trying to come after you in the Ch 13 for the remainder.
I would look closely on if you can file a Ch 7 though.
Your income is high, but if you have a large household and alot of monthly expenses it may work
I have had people who make $90k do a Chapter 7 because of family size and other monthly expenses.
It may not work, but it is worth looking into. At that point, there is no deficiency and it is discharged, so win-win for you.
Let me know if you have any more questions and I will do my best to continue to answer until you are fully satisfied.
I will be on and off throughout the weekend, so check back and look for my response periodically.
Have a great weekend!!!
Hey Paul,Household-1 person
only 1 person in household. So I make too much for chapter 7. I appreciate the answer.
That would be correct.
So it is kind of a gamble, most likely there will be no deficiency
Also, even though you owe $17,000
Most often all of them dont file either
I have had some people with $50k and only $20k worth of creditors filed
so you can save alot of money that way.
I think I will get another consultation. the first attorney was only going to be about 900.00 for chapter 13 and the 2nd was 3000.00. So do you think my boat will be an issue? I owe 20,000 it is prob only worth 13-14000 now. Do you think the bank will file defficiency claim for the difference on that? After my second consultation I was begining to feel like the only thing bankruptcy was going to do is eliminate the ineterest. I did not see the benefit... debt consolidation can do that. it did not make sense. Thanks
Well to start
Debt consolidation doesnt remove interest
and in fact, most debt consolidation companies are scams
a survey by the government just wrapped up
and 1 out of 10 people in debt consolidation were actually helped by it
so beware of that
In a Ch 13, you will have no interest, no late fees, no penalties, and most likely not have to pay all of your debts.
It is rare if all creditors file
Most likely neither creditor, boat or house, will file for a deficiency
Also a Chapter 13 keeps them from all suing and garnishing your wages
in a 13, you have more power to determine how much is paid
rather than them taking 20% of your paycheck
As for fees, they are usually $800-$1000 or so up front, and then the rest are built into the Plan payment
Usually $3-$4000 total
but they allow you to pay most through the plan
to make it easier for you.
If you have any other questions, please let me know!
And be sure to provide a positive rating so we get credit for our effort and time!
Have a great weekend!!!!
Thanks for your help today. have a good weekend
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