Has anyone gone through a CCCS.org agency program with over $125k in card debt? If you CAN pay, but not the high interest and minimums, is not the CCCS agency a safe way to go? Bankruptcy (ch 13) lawyer wanted $5,400.00 up front, cash. No way, what a load of crap. I want to pay it all off, but with over $75k at 29% interest, I’m screwed. I walked away from thinking chapter 13 and have submitted all my info to a CCCS.org company. I just hope.
Several other alternatives:
- See if you qualify for Chapter 7.
- Take out Nolo’s books on filing Chapter 7 and 13 yourself from the library or buy them in a bookstore.
Well, according to the Lawyer, income over the IRS standards for this area can not file chapter 7. The IRS standard for here is $67k. I’m well over that so chap 7 (as I am told) is not an option. I’d do chap 13 myself, but just about everything I read says to do that without a lawyer is foolish. I’ll see what the CCCS.org says. So far though, I sent all the info to them last Friday, have talked to an operator once and emailed twice, NO response. I’m hoping that non-profit does not mean non-responsive. Their website is www.surepath.org. Has anybody here dealt with them?
We have been with CCCS since August. So far everything is going good. At first the counselor we had didn’t respond right away but my husband continued to e-mail her and finally got the ball running. Have you consider negotiated settlements with your unsecured debts? Yes, it will hurt the credit but so will CCCS. You should also know that mortgage lenders consider CCCS basically as Chapter 13 Bk’s. You can negotiate settlements yourself or hire someone to do for you.
That is not entirely correct. You need to do the means test to see whether you can file chapter 7. Income less than IRS median means you can almost certainly file Chapter 7. Go to www.legalconsumer.com for free means test calculations. You can also do it by filling out bankruptcy forms B22A and/or B22C on the bankrupty court websites. I’d also give the cccs a try and anyway you need to take a financial counseling course before filing any bankruptcy. Hopefully the new administration taking office in about half an hour might change things to make it easier!
What I said was completely correct. If you make MORE that the allotted IRS standard income for your area then you cannot file chap 7. The form you refer to (B22) says the same thing. Enter the IRS standard for your area, subtract your actual income, if answer is zero or less, you fail means test and can’t do chap 7.
CCCS can’t / won’t help here, so BK (chap 13) looks to be the only option. Has anybody actually done it themselves? I’m talking to a lawyer this week, but seems there is a lot of suggestions to do it your self. Everything I read from professionals says it would be stupid to do myself. I’d listen to someone who had actually done it. If you have not done it, please don’t waste our time with what you think. Too many folks here have WAY too much on the line to hear what you “think”. If you don’t “know”, please don’t reply.
Also, chap 13 is better for me than the so-called negotiators that get you total due lowered etc. In many cases, you have to pay taxes against the amount that the debtor forgave from the total amount. If you had $50K dropped from what you owe, you would owe taxes on that $50k. Not something most would want to do.