Please advise. This economy is making me crazy. My husband who is in his 50's has been unemployed for 8 months (laid off-the company he woked for went bankrupt). My business is about to close due to the fact that no business is happening any longer- due to the economy. We are going to have to file bankruptcy because we have incurred a lot of debt trying to survive. I am concerned now that with our credit deteriorating we will have an even harder time findiing jobs, since everyone checks your credit. We currently have excellent credit, but I can no longe keep up with the bills. It just seems like a viscious cirlce we can't get out of. Do you have any advice when applying for jobs when you have bad credit? Also, we don't have any assets to speak of with one exception that is really not ours and a car with a value of about $6,000.. My grandmother became ill about 5 years ago and put her mobile home in my name in case something happened to her, she needed heart surgery. Everything worked out fine fo her, but the trailer was left that way and now I fear if I file bankruptcy it will affect her, when really the trailer has never been mine. Is there anything I can do to protect her? She now suffers from cancer. The mobile home is of little value and she rents a spot in a park.
You sound like you need to talk to a bankruptcy lawyer soon. If there is little value in the mobile home it may be an exempt asset or less legal terms - it may be safe from the bankruptcy court. Also, I am concerned about the timing of filing for bankruptcy. Usually you want to file when things start looking up. In other words, with no jobs or income you will end up in the same situation as you are now. When you apply for jobs and if they check your credit be truthful and explain that your husband has been out of work and that your business was no longer profitable. Most employers will understand. Where you will get into trouble is if you try to hide your credit issues or fabricate and explanation. You are not the only one in this situation right now. Unfortunately many people with very good credit are finding themselves in serious financial trouble and are resorting to bankruptcy. Again, please think about the timing of filing. You really may want to wait until you have jobs. Hang in there!
Please note that although this answer may provide information concerning potential legal issues, it is not a substitute for legal advice from qualified counsel. You should consult an attorney for individual advice regarding your own situation. Answering this question does not create any attorney-client relationship between you and Kelly Zinser, Partner at Olenicoff & Zinser, PC.