Please Advice

[DeepTruble]

What is the name of your state? NJ

I've been reading this forum for sometime now and I find it very helpful. I decided to share my problem and maybe somebody will be willing to give me some advice. Here is my situation:
I am married and both me and my wife are students. My wife has been working and going to school part time so she can pay our cc and cars. But she is unemployed at the moment and the dept is just killing us. We tried hard to work it out with the cc companies but they keep making higher that APR to a maximum of 28.24. Everything is registered under her name. The cars and most of the bills. She transfered her cc debt in my cc because I had a lower APR and higher limits. We are seriosly thinking of filing chap. 7. What are our chances? Will it be a problem that she trasnfered her cc into mine? Will her credit score be effected? What happens with the CC that are in both our names?
Please advice , we are really desperate.

 

[DeepTruble]

Also can you still get state loans after banckrupcy?
Please help.......

 

[vgmhilliard]

u first need to come down

What is the name of your state? NJ

I've been reading this forum for sometime now and I find it very helpful. I decided to share my problem and maybe somebody will be willing to give me some advice. Here is my situation:
I am married and both me and my wife are students. My wife has been working and going to school part time so she can pay our cc and cars. But she is unemployed at the moment and the dept is just killing us. We tried hard to work it out with the cc companies but they keep making higher that APR to a maximum of 28.24. Everything is registered under her name. The cars and most of the bills. She transfered her cc debt in my cc because I had a lower APR and higher limits. We are seriosly thinking of filing chap. 7. What are our chances? Will it be a problem that she trasnfered her cc into mine? Will her credit score be effected? What happens with the CC that are in both our names?
Please advice , we are really desperate.

U first need to come down a bit mate and take a fresh view of the situation.

1) Firdtly pls do not forget that it's your lenders' headache in the 1st place, NOT yours. They gave u the money they will probably never see again. From their perspective u can just go BK any time, or go abroad, or join the Armed Forces (US or some foreign mercenary units like French Foreigh Legion) or plainly die (Gof forbid) and they will NEVER see their money again.... Of coz they r trying to put some pressure on u to make sure they get at least something back.

2) That is exacrly why they keep on hiking their APR on what seems to be a "deteriorating" loan. It looks very unfair to many - as raising APR on ppl already in trouble pushes them even further into the red - but from your lenders' business perspective, it is exactly trying to get as much as they can from u before they realise they cannot get anything. As the greatest British Prime Minister of the 20th century Sir Winston Churchill once said: "Capitalism is sh*t but I do not know anything that wud work better". And this is how capitalism works.

3) In the UK e.g. what many ppl do in your circumstances, is (sorry to say that) getting formally divorced with one of the partners officially changing his/her formal address to the parents', friends' etc..... with the other partner filing for BK. In this case only one in the family gets the heat so to speak. HOWEVER pls bear in mind that in the UK most credit checks are tied to your address, not National Insurance Number (UK's equivalent for US SSN), so this works. I wud assume it is slightly different in the US - however let us be reasonable - if partners formally divorce and one of them (formally again) moves out, s/he cannot be legally responsible for ex-spouse's debts. So I wud assume it must be some sort of a solution in the US as well.

Just my thoughts here mate.

 

[DeepTruble]

That is absolutely right. Anytime that we would call credit card companies and try to work it out with them they would higher the APR even more. Has come to the point that only our minimum payments are more than $2000 a month.It's rediculos and only becouse they want to take the max from students.They push you into Bk.
Thank you for the advice.

 

[vgmhilliard]

live example

That is absolutely right. Anytime that we would call credit card companies and try to work it out with them they would higher the APR even more. .....They push you into Bk....

let me give u an example mate.

say u r wearing a Versace suit and driving a merk and u ask me for a 10K loan. Off u go, money in your pocket. We agree u pay me 100 bucks every month.

A couple of months pass by, u r making your payments, but I bump onto u on the street and I see u wearing dirty Gap jeans which u've never done before. i am a bit shocked but u tell me it's a bit of a rough patch and I still see your Merk parked nearby. What do I do? I say, OK mate, I am also going thru a rough patch here, can u pls pay me 150 per month from now on. To which u say yes.

Another couple of months pass by - payments being duely made - and I see u getting into a junk of a car on the street. I say hello mate, where is your Merk and u start wiggling out of a direct answer.

I come home and I realise things r going wrong on your end, and at any time I can see yourself going BK and me losing most of the money I gave u. What do I do? I come to your house and say - let us forget about your debt, just gimme all the money u have right now, in your pockets and in your bank account. U give me 2K, I go away muttering all the curse words there are in the English language and u wriggle out of your debt to me.

Sounds familiar? This is exactly what hiking APR and later on, settlement for half the debt owed is. Unfair? yes. But put yourself in the lender's shoes.

My point is - it is THEIR headache more than yours. Chill out mate.

 

[DeepTruble]

The other thing that concerns me is that in some states my debt is considered my wife's debt....so even if I file BK (not her) she will be included too. I know is like that in California...I am not sure for NJ. If I wont be able to have a credit at least she should be able to.

And what you where saying before mate ....your more than right. This system is for wealthy ppl....not like me.

 

[vgmhilliard]

u lost me now

.... in some states my debt is considered my wife's debt....

u lost me now geezer

how come your debt is considered your wife's? was she borrowing money and giving it in cash to u? u definitely have a way with women then matey

on a serious note, if that is the case, maybe it'd make sense for her to go BK and u steering clear (officially) and helping her out (unoficially)? I am sorry to crack a british joke on a US site, but I am sure u'd know how to guide her thru the rough moments......

 

[DeepTruble]

u lost me now geezer

how come your debt is considered your wife's? was she borrowing money and giving it in cash to u? u definitely have a way with women then matey

on a serious note, if that is the case, maybe it'd make sense for her to go BK and u steering clear (officially) and helping her out (unoficially)? I am sorry to crack a british joke on a US site, but I am sure u'd know how to guide her thru the rough moments......

Your right I wasn't clear. In some states your debt even if it's under your name and everything when your married and file for BK your wife will be considered responsible as well. Even though she is not related directly to the bebt. This is a way how creditors would try to get the money. As I said I know that for California that is true...but I don't know for NJ.