Foreclosure and BK? - Loan Modification Forum

AZChick · 12-28-2008, 11:01 AM

Just curious...why are so many people facing foreclosure also filing BK? Especially in anti-def states where the bank can not come after you? Are there other outstanding debts? RU afraid the bank will come after you? I'm weighing my own choices, none of which include BK, so I'm wondering what the advantage is? Thanks!

The Professor · 12-29-2008, 03:17 PM

As I've indicated in previous postings, I view bankruptcy as a "last resort." The problem with it is that its reporting period is ten (10) years and it may simply be better to threaten filing and work out agreements with your creditors that (1) gives them something, and (2) avoids your being subjected to the public viewing of your finances.

Save that Bankruptcy filing for the situation where you have a million dollar non-elective surgery because of a life threatening issue, and you lost both your job and your health insurance coverage a month ago.

Daniel

12-28-2008, 11:01 AM	#1 (permalink)
AZChick Senior Member Join Date: Dec 2008 Posts: 247 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Foreclosure and BK? Just curious...why are so many people facing foreclosure also filing BK? Especially in anti-def states where the bank can not come after you? Are there other outstanding debts? RU afraid the bank will come after you? I'm weighing my own choices, none of which include BK, so I'm wondering what the advantage is? Thanks!

12-29-2008, 03:17 PM	#2 (permalink)
The Professor Senior Member Join Date: Jul 2008 Location: 49er Gold Country Posts: 1,543 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Foreclosure and BK? As I've indicated in previous postings, I view bankruptcy as a "last resort." The problem with it is that its reporting period is ten (10) years and it may simply be better to threaten filing and work out agreements with your creditors that (1) gives them something, and (2) avoids your being subjected to the public viewing of your finances. Save that Bankruptcy filing for the situation where you have a million dollar non-elective surgery because of a life threatening issue, and you lost both your job and your health insurance coverage a month ago. Daniel

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