A prior client talks candidly with her Lynwood bankruptcy attorney on what caused her to file for bankruptcy. Well, I had cosigned for a utility bill for my oldest son, who actually didn’t pay, and it was a little over $3,000.00. At that point, they were ready to turn off my gas, which I had three younger children living in, and that gas as well in the middle of February. I also knew I had other bills. I never had any credit cards, so I didn’t have any credit card debt, but it all seemed to come tumbling down at once. I had this utility bill; I had medical bills for a very sick child; I also had a car that I was paying $445.00 a month for, and it had broken down, and it was only two years old, and my transmission had blown.
I was advised by my bankruptcy lawyer to add that in to my bankruptcy and that I would be able to get a new car. I was able to get a new car through some really good companies. My car payment went from $445.00 a month to $250.00 a month, and on a 3-year loan as opposed to a 7-year loan. So between medical bills, a bad car, and utility bills, I really had no choice but to file, and I’m glad I did because once we pulled the credit report we realized that there was identity theft on mine. There was a bank account, actually a checking account that was in my name that I’d never opened up. There was a phone company service that I’d never used before, so I did find that all out. I put a fraud alert down, but it also was wiped away so I was never charged for any of those.
I encourage people, if they are under water, if they are over their heads in bills, if they’re getting harassed by phone, at your job, at home, on your cell phone, to consider claiming bankruptcy. It can put a stop on that embarrassment, and to just wipe it away and get a fresh start. You’ll be able to sleep better at night, you’ll be able to have just peace of mind, and just have that worry just gone.
I tell people just to make sure that you include everything and make sure that you have that good rapport with your attorney so that they can answer any questions for you. There is life after bankruptcy. I got a car, I got a credit card, and my credit is at “good.” So as opposed to “poor,” then “fair,” at least I’m at “good.” So I do encourage it. I could not have done it without the bankruptcy advice that I received from my attorney.