Well My Parents Want some suggestions For What Happens When You There in debt a lot of and i was wondering what the good and the bad do they take cars,furniture etc. Can Anybody tell me what Happens?

 

  • snosh 4:15 pm on September 22, 2009 Permalink |

    ask dave ramsey he is a great financial guru he has a show on the fox business channel and a radio show too. He gives great advice and will tell you what you need to hear. he’s not just another guy looking for profit he is Godsent and really wants to help the normal average joe.

  • thomas p 4:15 pm on September 22, 2009 Permalink |

    The U.S. bankruptcy code changed dramatically on Oct 17, 2005. Your parents household income is an important factor in how their property will be treated in bankruptcy. My understanding that reorganiztions by families are still not a practical solution. A bankruptcy pro is needed now more than ever. Many lawyers who represented middle class families closed out their practice with the amendments to the code.

  • TPBar 4:15 pm on September 22, 2009 Permalink |

    Credit.org

    check it out… it’s a non-profit organization that helps people like your parents settle with the credit companies for a fraction of what the owe. I was 26,000 in the hole and now I have a zero balance on all my accounts…less than 3 years. 2 years 7 months actually. Bankruptcy does NOT clear all your open balances…

  • Mr_Blue 4:15 pm on September 22, 2009 Permalink |

    There have been a lot of changes in bankruptcy law. It is not easy for individuals to claim bankruptcy. Talking to a reputtable bankruptcy attorney would definitely help. Check with the local or state "Bar Association" to see if you can get a referral.

    Good luck.

  • golferwhoworks 4:15 pm on September 22, 2009 Permalink |

    They are alowed to keep most items. with that having been written — any item they owe on such as home and cars, etc they will have to give back or re-affirm the debt and pay them on schedule. Credit cards and other loans will be discharged.
    Seek an atty to answer these questions it is well worth it.

  • Doctor Deth 4:15 pm on September 22, 2009 Permalink |

    They need to talk to a lawyer – without a lot of specific info – no one here can really give you a good answer

  • Jenn N Kentucky 4:15 pm on September 22, 2009 Permalink |

    If they file Chapter 7 they will have everything discharged like medical bills and credit cards. But houses and cars have to be reaffirmed ( they are not going to file on those items and keep paying on them) or they take them back. Now if you have anything extravagent like boats or vacation homes they will make you sell it to pay something towards the creditors. Bankruptcy stays on your credit report for 10 years and depending on the situation and how bad their credit it is, they actually may fare better filing bankruptcy but only a lawyer can tell you the specifics and if they qualify. THere is also Chapter 13 but that is were you make payments on everything that is owed. Chapter 7 helped my brother and sister in law who were drowning in medical bills that was keeping them from getting anyother new credit like credit cards after they filed bankruptcy they fared much better.