Thread: Hopeless - completely broke

2 years ago I started a company and sunk everything I had into it.

I am now completely broke - the company can not afford to pay me anything - in fact it is trying to pay off its debts.

I have no income - I have tried to get a job and do not have any luck for the past year. My credit is completedly ruined as I have had no way to pay my debts of credit cards, loans, student loan (I was almost finished in paying it off), a very expensive driving ticket.

I am penniless (as I sit here my checking account is over drawn by $360) and no income - I have nothing left. I have applied to EDD of California for benefits but it sounds like they will deny me since I am visiting my parents in Virginia since am a basket case right now due to stress and thus out of state.

I would like to file for bankruptcy but I can not afford to even feed myself right now - there is no way for me to afford a lawyer or even the court fees.

I can not borrow money from anyone.

I am hopeless and I feel like I am about to fall off a cliff.

I do not know what to do.

Hello,
I know how you feel. My husband and I are very close to your situation. We have 2 kids through all of this which has made it more of a challenge, but they have least have been our strengths to keep us going. Most lawyers do free initial consultation. And can advise you the steps to take in order to get back in control, as bankruptcy may be the best way to go here. Just remember, credit is material. And if it's shot and gone to H3ll then it's still OK. Stop paying your cards, request a deferment or forebearance on your student loan. I've requested a deferment every year for the last 3 years and they have accepted it every time so I haven't paid them in going into the 3rd year...accrueing interest, but at least I'm not penalized by govt. Begin with the small steps. Stop paying your cards, and feed yourself. Look for jobs at every website and go to career fairs. Do not stop. You will be on your feet again. Again, ...baby steps. Start with free consult with a lawyer. Good Luck! ....PS-many have pymt plans and know the situation we are facing with money.

That's a tough situation Berkele612. Try to stay positive. I totally agree with silvfam: don't pay your bills. Food and shelter always come first. I have considered bankruptcy many times but decided not to. I have students loans adding to about $13 000 and about $3000 in other debts.

Fortunately I have and never will own a credit card. I really don't care about "credit ratings" either. If I want to buy something, I wait and save my money. Look into agencies like food banks and shelters. Do what you have to do to survive.

Do you need to lower you standards for the type of work you are seeking? I used to work two part time jobs to make ends meet. Main thing though....stay focused on finding work and keeping positive. I can emphasis with how hard it can be. Stay strong my friend, tomorrow may be brighter.

Definitely contact a bankruptcy attorney. Most of us have free consultations. Some do have payment plans, but most will require all fees up front for a Chapter 7 (which is what you sound like you need). You can't get rid of your student loan OR your traffic ticket in the bankruptcy, but credit cards, medical bills, loans, vehicle deficiencies, and utilities can all be wiped out in Chapter 7.

Call an attorney! We like to get phone calls! And someone can definitely help you.

if you do not have a job you will not be able to file bankruptcy. you will not be able to make the monthly payments.