Hi - my name is XXXXX XXXXX X'X a Bankruptcy attorney here to assist you.
1) Why did you only ask if you should wait to file until the second mortgage company gets a deficiency judgment? (Why did you not ask about a first mortgage deficiency judgment?)
2) What did you mean by your taxes expiring (in 2014)?
I didn't ask about the first because I simply forgot.
I am highly interested in the 2nd because it is unsecured---but I also care about the second.
Thank you for your response.
The expiration was the 240 day rule that I was reading about related to the taxes
I also care about the first---sorry I wrote the second by accident
The first mortgage is partially unsecured - as the balance on the first mortgage is greater than the market value of the house.
Ok....that makes sense.
When is the best time to file? Before or after the bank decides to pursue a deficiency
You may be able to wait until either or both mortgages get deficiency judgments before filing a Bankruptcy - unless either or both mortgage companies issue a C-1099 Forgiveness of Debt.
Is that considered income that I would file on my taxes? If they do that then would I have to file bankruptcy
Yes - the forgiven amount, which is reflected on a 1099-C form is taxable income, unless that mortgage is discharged in a Bankruptcy.
I feel like I want to file a chapter 7---and get a fresh start but I am not sure I would qualify since my car payment is so high
Do you think I should wait on bankruptcy? I feel like I don't know what to do because there are just so many variables
So, you can wait to file until you get a 1099-C form, or until one or both mortgage companies get a deficiency judgment.
Ok that makes sense. Should I just keep paying my other bills? If I leave my higher paying job that may be harder.
How many are in your household?
And on top of it all--- I just feel an overwhelming amount of stress (sleepless nights, weight loss, migraines, dealing with my ex)
It is just me
And losing my hair from the stress of two jobs to keep all the balls in the air
Sorry I know you are not a therapist (smile)---I just want to make sure I am getting the best advice because this feels so lonely
It really sounds tough - but it looks like things will get better once you have the foreclosure and/or Bankruptcy behind you. I will look up the income limit for filing a Chapter 7.
Only one person in my household
I looked it up already---it is $47,000
But my car payment is so high---it may disqualify me.
Should I sell the car?
One's car payment does not affect whether or not a Chapter 7 can be filed.
Really---that is good news. A woman I just met said I could only have $450 or less in car payments
If your total gross annual income is less than $47,124, the Bankruptcy court does not look at how you spend your money.
She said the courts would look at it as expensive related to my income
WOW...that is GREAT news~~~
I can keep my car...
But will they get mad at me for leaving my higher paying role
I am just too stressed to work in the field any longer...the lower paying is far more manageable
You cannot be forced to work - something to do with the 13th Amendment (anti-slavery).
WOW...this is AMAZING.
I can resign from my current job and work my second job only.
No one can get mad at you, or sanction you because you do not want to work 2 jobs.
I can keep my car regardless of the payment
I am going to wait to see what the mortgage company decides to do with me
I am moving out August 1st to an apartment---and wait and see
You can keep your car as long as it has less than a certain amount of equity - I will look up the amount.
It has no equity---I owe $26,000 and it is worth $19,000
It is upside down too
Everything in my life is upside down
So you can keep it, as long as you continue to make the payments.
I will pay for it
This has been really helpful...you are really nice
So everything in your life has no where to go except up.
Most bankruptcy lawyers seem a bit harsh---and revenue focused
Please pray I find one that has my best interest---
Most attorneys I have met are revenue-motivated.
I will sleep a lot better tonight.
I will keep paying my credit cards too
You can stop paying your credit cards once you decide you are going to file a Bankruptcy.
I don't use them anymore---only cash
You can have income taxes dischared if they are more than 3 years old.
I think if I file, I am going to wait until they are 3 years old
2009- filed in April 2010 (April 2013)
So, it may be a good idea to try to wait until after April, 2014 to file.
I totally agree
The 3 years is measured from the date the tax return was due to be filed.
Can I last that long?
The return for 2010 was due to be filed April 15, 2011.
What if the bank comes after me before April 2014?
I filed all of my taxes on time
They cannot do anything before the redemption period.
The redemption ends on 8/20/2013
In most cases, it takes longer than 6 months to get a deficiency judgment, and then at least another few months to start garnishing ones wages.
Ok I should be ok....
But if your wages are garnished before April, 2014, the garnishment must stop as soon as you file.
Ok...that makes sense~~~
The few weeks or months of garnishment will probably be less than the 2010 taxes that are owed, and that can be discharged if (and only if) a Bankruptcy is filed after April 15, 2014.
And if you are issued a 1099-C, you have to file a Bankruptcy before you file your tax return for the year in which thhe 1099-C is issued.
Thank you so much---you have been extremely helpful!!!!
And don't forget that, ''this too shall pass''.
I am trying to hold on everyday
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