Bankruptcy vs do nothing.

[cj023Participant 723]

So after what happened in Europe I guess this is a little innapropriate, but.

Hey guys, so my credit is completely f~~~ed 490 fico 33k in debt, I have no assets whatsoever my wages arnt being garnished and I have a sustainable living situation right now. However would you file bankruptcy now? No assets and the majority of the debt is student loans. I just stack cash for the time being, should I continue to do that or eliminate my debt in hopes to restore my credit?

[Anonymous 43]

eliminate debt.

[Silver FoxParticipant 2766]

Do not worry about your credit. You can rebuild that. Do everything you can to eliminate your debt. That is the priority above everything else.

I’ve been in credit card debt for a few years now. I can finally see light at the end of the tunnel after getting help from a credit debt relief agency. I will be completely debt free in about a year.

I would recommend inquiring with a debt relief agency, or a financial advisor, or something like that to help you work out a viable plan to kill your debt. It’s very hard for most people to come up with a plan and stick to it on their own.

"Are you loosed from a wife? Do not seek a wife." --Apostle Paul

[PuniShredderParticipant 2268]

You can’t charge off Student Loans in Bankruptcy. So, I would pay try debt relief consolidation. Everyone I know who has done that has saved THOUSANDS and been able to pay the debt off.

Be professional be polite but always have a plan to kill everyone you meet.

[SandalsParticipant 4254]

Spend one year living small, pay off the debt in one year. It will be a tough year but worth it.

[BeerParticipant 11832]

Student loans are pretty tough to get rid of by any means other than paying them off. If you fall too delinquent on them, they’ll garnish wages. I’d hammer them with everything I had and pick up a second job for a while if you have to.

[StargazerParticipant 12505]

Declare bankruptcy and do it as soon as you can. That’s what it’s there for. Your credit will be f~~~ed but in time it will come back.

[AutoliteParticipant]

Beer wrote:

Student loans are pretty tough to get rid of by any means other than paying them off. If you fall too delinquent on them, they’ll garnish wages. I’d hammer them with everything I had and pick up a second job for a while if you have to.

I was just wondering if there has been anybody who was unable to pay off a student loan on a course that taught financial management???

[JVBParticipant]

Consider long term. Years down the line you are doing well with a nice amount of cash in the bank. Boom!!! Here come the wolves to collect and to court you will go. An ignored debt is not a forgiven debt. It sounds best for you to file bankruptcy to protect your future.

Peace is > piece.

[Anonymous 42]

Are student loans forgiven in bankruptcy? Or are they put on a back burner somewhat like child support in spite of dwindling economic conditions?

It’s your debt, you created it, why should anyone else be made to cover your tab?

It’s like having the government pay your Las Vegas gambling debts.

If you won, would you be sharing the profits?

[narwhalParticipant]

Anonymous wrote:

It’s your debt, you created it, why should anyone else be made to cover your tab?

I agree with Tower on this, you should take responsibility for your debts. However, risk is built into the interest rates on loans and the entire structure. Declaring bankruptcy isn’t going to cause great harm to others, as long as everyone isnt’ doing it.

Silver Fox wrote:

I would recommend inquiring with a debt relief agency, or a financial advisor, or something like that to help you work out a viable plan to kill your debt.

There are a lot of factors at play that an expert should assist you with. So much depends on your income, what type of debt, what can be consolidated, your other financial commitments as well as future plans.

The most important thing is…never do this again.

Ok. Then do it.

[Anonymous 0]

Slam the debt. 33k is not that much and your future is safe. Just don’t get involved.

[BeerParticipant 11832]

narwhal wrote:

I agree with Tower on this, you should take responsibility for your debts. However, risk is built into the interest rates on loans and the entire structure. Declaring bankruptcy isn’t going to cause great harm to others, as long as everyone isnt’ doing it.

cj023 wrote:

I have a sustainable living situation right now. However would you file bankruptcy now? No assets and the majority of the debt is student loans. I just stack cash for the time being,

Well it actually does cause harm to everyone when they are government backed student loans tax payers end up on the hook for. Well ok…not quite everyone…all the leechers living off welfare programs and not paying any taxes wouldn’t be impacted.

Besides…if he’s making enough to “stack cash” he could just pay his debt off. Not trying to be a dick but I’ve seen way too many people take the easy path through college just to start bitching about their student loans soon as their first payment is due…”I’m stacking cash but don’t want to pay off past debts because hey…who would if you can get out of them?” doesn’t really seem like the decent thing to do. Plus going delinquent on student loans hoping to get this discharged is going to backfire miserably if the plan fails because the balance will grow each month you don’t pay. I’ve read more than one article about someone who had a modest amount of student loans, ignored them for a few years, then when they finally realized they weren’t going away on their own they got a hard lesson in how compounding works.

[hollowtipsParticipant 681]

In your position I would save lumps sums of money to pay large quantities of the debt at once while making minimum payments in the mean time. The more/faster you pay off the less it costs you monthly.

Perhaps consider making a phonecall or appointment to evaluate what you owe and payment plan relief and solutions.

I don’t think filing for bankruptcy gets you out of student loans but I know in some scenario’s the loans can be forgiven especially with a good credit score.

What happened in europe?..

[Y_Participant 4591]

No – DO NOT declare bankruptcy. The problem is it becomes a criminal record and prospective employers, banks, anyone who deals commercially with you will want to know.

Bankruptcy does not automatically discharge you from debts owed.

You may lose out on jobs. loans and that nice car you wanted? Sorry. It becomes a self perpetuating problem.

Eliminate debt.

[ResidentEvil7Participant 9565]

I was in credit debt for 7 years and since January 2013 I haven’t been in a single month where I couldn’t pay off a single charge to my VISA. When you’re in debt you learn how to restructure your finances. Whatever money I had went straight into the cards I had balances on (6). Live on what you can afford. I paid off each card (6) each month in minimal payments, but the interest was making the debts more expensive. I think in the 10 years I’ve had credit I only screwed up on payments twice and that was at the beginning when it was new to me. I got myself out of credit debt (took me 7 years) and since January 2013, I refuse to go another month unable to pay them off; and get this, I have $5,100 to play with and a credit score of 801 as of November 2015. If I had a job and enough money I could buy a house because my credit score is great.

DON’T DECLARE BANKRUPTCY!!!!!!!!! By doing so, you destroy your chances of getting a job, a house, a car, college, credit. That bankruptcy follows and haunts you for at least 7 years I think.

I didn’t need MGTOW to tell me how to balance my credit debts. I had to learn it by experiencing it. You will too. The only difference is your debt was over 10X what mine was, but you have a job; I don’t.

By the way, even though I was jealous of a friend for having credit and buying things to make him happy, still what card company allows an unemployed guy start a credit account? Either way, I built credit in the 10 years I’ve had credit (still have my first card and it’s my only card, which is Sony Rewards VISA) and my credit score is 801 last time I saw it and without debts, I have $5,100 in stored cash to play with. I feel great about it.

Lesson learned: charge for what you can pay off. I make sure with every time I charge on my card, I can pay off by the next billing cycle, or I won’t charge it. I’d rather wait than screw myself.

https://themanszone.webs.com/

[Y_Participant 4591]

ResidentEvil7 wrote:

I was in credit debt for 7 years and since January 2013 I haven’t been in a single month where I couldn’t pay off a single charge to my VISA. When you’re in debt you learn how to restructure your finances.

Well said. cj023 – this is how it is done.

[SandalsParticipant 4254]

Y_ wrote:

No – DO NOT declare bankruptcy. The problem is it becomes a criminal record and prospective employers, banks, anyone who deals commercially with you will want to know.

Bankruptcy does not automatically discharge you from debts owed.

You may lose out on jobs. loans and that nice car you wanted? Sorry. It becomes a self perpetuating problem.

Eliminate debt.

I agree do not declare bankruptcy, but not for these reasons. After the sub-prime debacle, everyone declared bankruptcy. Your neighbors, your parents, your brothers, your sisters, your boss, your boss’s boss, the millionaire next store, your county, state, and federal government, foreign governments, every corporation that was bailed out, President Trump… friggin’ EVERYBODY.

In the old days the reasons you give were good, but these days, nobody cares. If you declare bankruptcy, and then get your finances straight, you can go right on borrowing money (why you would want to, only god knows).

The reason he should absolutely not declare bankruptcy is because the government NEVER forgives student loans, EVER, so it is literally pointless. The government is the most vile and evil thing that has ever been in existence since the celestial epoch, and wants only to squeeze every last drop of blood from every white man in existence today. Even the Bible MANDATES all debts must be forgiven every seven years (which is probably where the seven years comes from that our credit laws use today).

Because your loans are student loans, do NOT declare bankruptcy. Live very small, work your ass off, earn a lot of money, do not play for a year, and pay it off in one year, and NEVER EVER EVER take our a loan from the government. Ever. Especially to go to a bulls~~~ liberal indoctrination university.

[PuniShredderParticipant 2268]

cj023 wrote:

So after what happened in Europe I guess this is a little innapropriate, but.

Hey guys, so my credit is completely f~~~ed 490 fico 33k in debt, I have no assets whatsoever my wages arnt being garnished and I have a sustainable living situation right now. However would you file bankruptcy now? No assets and the majority of the debt is student loans. I just stack cash for the time being, should I continue to do that or eliminate my debt in hopes to restore my credit?

I’m about to be in a similar situation I’ve stopped paying credit and will be giving back my wife’s car. Bottom line, our life cost way more than we thought and I spent a year stressing trying to pay for it all to no avail. Just car payments, bills, toll $$, gas insurance etc..No stupid material items etc…credit got charged up, add medical, dental and a car with 34K miles on it worth 10k less than I owe and we threw in the towel. We’ll be a cheap car to get to work and back. I’m fine with being cash and carry and I’ll never need or have a loan again. It’s stupid, costs WAT too much in the aggravate and a bad investment. If you can’t buy it for cash, you can’t afford it,

That said bankruptcy is a legal protection from creditors coming after you legally. If no one is you do not need it. All unsecured debt drops off your credit in 7 years. Bankruptcy is 10. Chapter 7 at least. If however a creditor threatens to or begins proceedings to come after you to obtain a legal judgement, bankruptcy can protect you from wage garnishment and judgements which can stay on your credit 10 or 20 years if renewed!!

So right now your credit cards are unlikely to come after you, they tend to charge off. You’ll have to pay your student loans as they are generally not dischargable. Hang tight and I recommend you change your ways moving forward. Read Dave Ramsey and go to Mrmoneymustache blog and forums. That will teach you what you need to know financially. Good luck.

Be professional be polite but always have a plan to kill everyone you meet.

[BeerParticipant 11832]

Sandals wrote:

If you declare bankruptcy, and then get your finances straight, you can go right on borrowing money (why you would want to, only god knows).

I’ve known people that have dug in as deep as possible, declared bankruptcy, as soon as they could get any credit at any rate, they’d dig in again. Why wouldn’t they if they know essentially every 10ish years they can get a large pile of debt erased? That is the problem with how our laws work. I think they have tightened down on it a little but I’m not a bankruptcy expert.

Its exactly why it should stay near impossible to get rid of student loan debts in bankruptcy. Soon as it becomes relatively easy to discharge it, why wouldn’t you borrow every penny you can while going to college? Hell I’d borrow extra just to throw it in the stock market. Once I’m done doing this for 8 years and have a phd, I’d work part time at some joke job for however long it takes to get hundreds of thousands of dollars worth of student loan discharged because I can’t find a good job, get that s~~~ wiped, then go get a good job and move on with my life. Incentivizing behavior like that only leads to more behavior like that.

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