I have owned a business since 2014. No business assets and each year was a loss. Dissolving business now. In 2017, I took out high interest loans in the business name, as well as signed a personal guarantee. I paid the three loans for a while and couldn't afford the high interest daily payments. In Jan 2018, my wife transferred the house that was solely in her name to my business name to take a hard money loan. In March of 2018, I transferred the house back to my wife and paid off the hard money loan in Jan of 2019. The three loans I took prior to that are still outstanding, as well as my car was repossessed and other credit card debt. I met with an attorney and was ready to file, but he said I cannot because my wife transferred the house to me in Jan 2018 and then I transferred it back to her after getting the hard money loan. Again, that loan was paid in full, but the atty said a creditor may still say I transferred the house back to my wife to plan for bankruptcy. Creditors are suing me and I no longer have any assets. What do I do?
I agree with the attorney you consulted. The transfer of the house back to your wife will be a big problem. The bankruptcy code gives the trustee the power to undo transfers of property that benefit insiders (spouses, business partners, etc) for two years and some states allow the trustee or creditors to undo fraudulent transfers for longer than two years. What you did with the house is a classic case of a fraudulent transfer, even though you may not have had a nefarious intent. If you file, expect to have to spend a bunch of money fighting the trustee over this.
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Although the attorney you consulted with is correct, whether or not you may have a "work around" in a Chapter 13 would depend on an in person consultation and discussion of your entire situation with the attorney. Do not let geographic restrictions get in the way of retaining the best attorney. Pick the best attorney you can find and remember one rule: a good attorney is generally never cheap, and a cheap attorney is generally never good so don't choose based on price.
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