Legal Question in Bankruptcy in California

Re: I Need Help!

It sounds like you are making a lot of major decisions at once, which is always a stressful time.

Before refinancing the house, talk to a realtor about what the selling price of the house would be in the current market. You do not want to refinance for over that amount as that will just bring more problems. In general, refinancing a house to pay off cards is only advisable if you are not going to use the cards again. Otherwise, you double your debt instead of reduce it.

You put this question in the bankruptcy law section but did not ask about bankruptcy -- is it something you are considering? If so, it is much better to file for bankruptcy, either separately or with your husband, before your divorce is finalized. That way you will leave your marriage on your own two feet, but not with a load of debt. If you get divorced first, the debt may not be dischargeable in bankruptcy.

Best of luck to you as you make these difficult decisions. Many bankruptcy attorneys offer free consultations so that may be something you could take advantage of in gathering information for your decision.

One last note of advice -- avoid debt counselors or people who will fix your credit for a fee. They are often scammers.

-- Amy Kleinpeter

http://www.amykleinpeter.com

Re: I Need Help!

Depending on the amount of equity you have in the house, it might make sense to file for Ch. 7 BK. There are issues, of course, such as when you last used your credit cards, how far in arrears you are on your mortgage (i.e. are you in foreclosure), etc., your own income level, etc. It may not help with your husband's personal issues, though.

Re: I Need Help!

Whether you want to get divorced or not has to be your personal decision. No attorney can or ahould advise you on that. As to BK, please keep in mind...if you do not have much equity..trustee will abandon the house and you can still sell the house with the court's permission.