Va Pay And Bankruptcy -- Negotiating With Creditors And Exemption

[usmc79]

I've fallen on hard times and am unf. considering bankruptcy. I'm trying to negotiate with my credit card companies but they're....ugh. If I do have to file for bankruptcy, can they take away any of my VA pay? All or some from my monthly deposit? Or any future retro VA pay? I'm total and permanent at 100% and require no more exams. If my VA pay is exempt, I'd like to use that as a way to negotiate better terms so I can pay my debts and not file. I don't own anything or have any savings..it's just the VA monthly pay..I'm trying to see if that puts me a better position to negotiate the terms.

Any advice or stories would be greatly appreciated. Thanks!

Semper Fi

[usmc79]

Broncovet: Are you talking about the Catholic or Lutheran church or a group related to them? I'm not sure what to look for! I appreciate if you could let me know!

[Philip Rogers]

If you owe a lot, I would file Chap 7. Unfortunately, I had to file in 2002. I filed Chap 7. Attorneys require payment prior to the discharge hearing. You can file pro se, ie: representing yourself. My credit rating these days is about 720 and climbing. Bankruptcy stays on your credit report for 10 yrs, not 7 yrs. My credit report has recovered. I have all the major credit cards, now, which I pay in full each month. jmo

VA is protected, except that some judge may order any child support owed be collected.

pr

[broncovet]

My suggestion is to google "Catholic Credit Counseling Service (insert your city, state) " or "Lutheran Credit Counseling Service (your city, state) " for organizations in your city who do this. When I did just that, several local organizations came up. By staying with a local based organization, through one of these well known churches, you reduce the scam risk, since there are online and phone scams that want you to give them your social security number, and other personal info and scam you.

Just be careful of dealing over the phone or online...giving out your personal information.

Dave Ramsey has a radio show and famously gets people out of debt. I have listened to his show, and, while I dont agree with everything he says...mostly, he has excellent advice. People often "call in" to Dave Ramsey radio show, and report that they had success eliminating debt, sometimes in just a year or two, by implementing his principals. Dave Ramsey radio show is often featured on the "Christian" radio shows, which are also probably available in your area. To locate a dave ramsey show, try this link:

http://www.daveramsey.com/show/stations/

I will say this: Either of these 3 (Catholic, Lutheran, Dave Ramsey) services will require effort on your part, and you will likely need to make some changes. One defination of insanity is to do what you have always done and expect a different result.

Edited December 12, 2014 by broncovet

[Notorious Kelly]

And keep these bankruptcies in mind:

American Airlines, General Motors, Donald Trump, Texaco, Six Flags, Reader's Digest, Polaroid, Purina, Mike Tyson, Burt Reynolds, Kim Basinger,..and a million others: http://www.angelfire.com/stars4/lists/bankruptcies.html

So- you're joining the ranks of the rich & famous. (Bankruptcy is only awful when WE do it! )

Punch out and rebuild, brother!

[Buck52]

I never have filed Bankruptcy...but about 30/35 years ago or so We purchase a 50 in projection TV from Sears when they first came out and had problems with it the 3 years I had it.

We finance it for three years, made every payment and it went out,,, I called Sears and the warranty run out and I ask what my balance was on it? that it should be close to paying off?.. and it was still a ridiculous amount bout half what I originally paid for it.

Sears refused to repair it, I called them said I was not paying another dime on it they said Well we will just have to come pick it up I said come get it.....& .. that's been over 30 years now and I keep getting bill collectors calling...GRRRR....

What they do they sell that account if they can't get results they sell it to other collection agency's ..No results they they sell the account and it just goes on for years and the calls keep coming they never give up.

I think the TV was close to 900.bucks back then now the account is around 10.000.00 bucks from acured finance charges and late fees...We just ignore their calls and its not hurt my credit rating (maybe at first it did way back then) but 5 years ago we purchase a new house with VA and since the rates are down we refinance it got cheaper payments. I refuse to pay it. and I won't...I told all them bill collectors to sheve it up there assperallo!

Edited December 12, 2014 by britton

[Notorious Kelly]

This might help in dealing with bully debt collectors: http://www.ehow.com/how_6503667_rid-debt-collection-bully.html

or this http://www.foxbusiness.com/personal-finance/2010/09/17/dont-allow-debt-collectors-bully/