The Continuing Saga (Discovering Priorities and Saving My Sanity)

But of course, I couldn't continue the pace. I got moved to another department, and was miserable. I dropped down to part time, in order to save my sanity and teach more. And my stress level did drop. However, the part time insurance would make me regret my decision. It hardly covered any of my most recent bills, but whatever. So I'm bitter about my financial stupidity. But the bankruptcy has made it crystal clear what's most important to me. Shelter. Food. Clothing. Everything else is gravy. Doesn't matter if it's a fifty cent Redbox rental or discounted magazines, my financial mess has made me resent corporate America. I'm going to see just how cheaply I can live, as a form of rebellion. I'm not an economist, but even I knew if a country's economy was based on mindless, wasteful spending, and people lost their jobs and now longer had credit, the shit was going to hit the fan, and the economy would grind to a halt. People go on and on about “freedom”, and how America is the “freeist” country in the world, but it's all hogwash. Economic power is freedom. I want to be able to have a year's salary saved. It's a big goal, but if you had a year's salary in the bank, how would that make you feel? Would you go on a spending spree? Would you quit your job?

The Story Goes On

Why am I bitter? Well, I'm kicking myself for my own financial stupidity, and faith in the American workforce. I always thought I would find a “good” job. I did finally find my niche, but in order to find more work in that field and to have any hopes of getting a full time job, I need to get a master's degree. I worry about it, but it's only going to cost around $12,000 to get my master's. It's a lot of money, but at the same time, it isn't. I figure it's worth it if it will give me a job that I enjoy, where I can make decent money, have a good schedule and time off so I can work on my writing and other creative activities. I worked a full time retail job, plus a teaching job, and I literally didn't have a full day off, where I didn't have to do anything for MONTHS. The money was nice, but I couldn't enjoy it. Then, when I filed for bankruptcy, I was still making good money, but had to send $600 a month to the trustee. I did some math, and realized if I could keep up the pace after I finished my bankruptcy, in three years, I'd have more than $21,000 saved. More than enough to go back to school and feel as economically secure as a single woman could possibly feel in the United States right now.

Miley Cyrus is Rich and So is My Friend Heidi!

Today's post (yes I know it's late, sorry) is from my friend Heidi. We have known each other for a long time. I've traveled quite a bit with Heidi and visited her when she moved to Key West for one winter. She has a neat blog, and I asked her to write something for Recovering Bankrupt. So go check out her blog!

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My name is Heidi, and I have a blog called Heidi’s Wanderings (http://heidiswanderings.blogspot.com).  My blog is about everyday life, and how to enjoy life. And I was really glad when Gloria asked me to do a guest post I knew exactly what to write about. So please feel free to visit my blog and wander along with me.

I’m Rich

Yes, I do believe that I’m rich. That does not mean that I’m a millionaire. I don’t have a job that pays me loads of money, but believe it or not I am rich! I know that there are those of you who are thinking she’s crazy you can’t be rich if you don’t have loads of money. But that’s not true.

So what makes me rich?

I am able to read and write. Did you know that over 57 million school age children in the world are not attending school. That is not because they don’t want to it’s because they live in places that don’t provide free education to all children.

I ate three well balanced meals today. According to the United Nations 870 million individuals in the world do not consume enough food in a day to meet their daily energy requirements. That means they aren’t able to take in as many calories as they burn. This isn’t a choice for them. They don’t have access to the food.

I have a safe place to live, and my government is stable.  By the end of 2012, 45 million people in the world were displaced due to conflict in their country.

I can go to my kitchen and turn on the faucet to get a glass of water. 38% of the world’s population is unable to do this. Imagine walking to a well to get your water everyday.

I have an operating toilet. Don’t laugh at this one 15% of the world’s population doesn’t. I know there are people who appreciate the great outdoors, but on a cold winter morning I really do prefer going indoors.

These are a few of the reasons I know that I’m rich. And they are just the practical reasons.  I have loads more reasons and if you stop by my blog you might find a few of them out.

My Summer of Poverty, Part Two (my continuing bankruptcy story)

Of course, it's September now, but I've been writing material for the blog for a while.

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Now, it's July 2013. Istruggled making payments because my work hours were reduced in the spring. My trustee died. My lawyer suggested converting my bankruptcy to a chapter seven. I was worried about losing the house, but my lawyer said she wasn't really concerned about that. There is only $3,000 of unprotected equity, and with closing costs and the amount I owe my creditors, it isn't really in the trustee's interest to try and sell the house. My recent surgeries (colonoscopy and right hemicolectomy) came to $60,000 (yes, I had insurance). I should have been done with the bankruptcy, since I was on a three year plan, but thanks to a paperwork screw up, I could convert to a seven, AND include my most recent debt. It's not the most noble way I could have addressed it, but do YOU have $60,000 set aside for a rainy day? Yeah, thought so. So I guess it's working out. Had I gone for a seven in the first place, I wouldn't be able to convert now. However, I do regret paying $17,000+ to the trustee, knowing that had I done a seven, I could have saved a good chunk of that money and maybe gone back to school. However, even if I saved the full $17,000, it still wouldn't be enough to pay for the medical bills. So, I guess there is a huge positive to this, even though right now I'm down to my last $50 (most of it in change) and my car died on the other side of town. Too poor to pay for a tow, I begged a car care place to push me off the road. Even my emergency blinkers weren't working. I can only hope the car will not be towed or vandalized until payday comes, and I can pay a tow service to bring it home. Most of my next two paychecks are spoken for, and with my hours being cut, I have no idea when I'll be able to get my car repaired.

I know this blog doesn't seem very funny. Where's the humor, you're probably wondering. Well, I'm trying to save that for my memoir. Since I tend to be very wordy, I'm writing this all up on a sleepless July night. I figure, if I write a bunch and post a little of it at a time, I will have plenty to write about. Maybe not a daily blog, but perhaps twice a week. I am planning to share some tips and suggestions if you are planning to file for bankruptcy. Please bear in mind I am not an attorney. Everyone's case and situation is different. States have different laws regarding equity in homes. There are also income limits as well. I can only tell you my story. My experience has changed my mind about money. It has also made me bitter as well as more compassionate.

Here a Sock, There a Sock, Everywhere a Sock Sock

From time to time, I will be running some money-saving tips and tricks. Consider this a brief break from my ongoing bankruptcy story! Hope you enjoy it!

I felt in the mood to clean the other day, so I rummaged through a couple of drawers. It dawned on me that I have a lot of white socks. I actually thought about getting rid of all my white socks and buying maybe 12 pairs of white socks all the same fabric, color and style. The white socks I have go all over the map: ankle socks, short socks, long, scrunchy socks. So I sat down and looked at them, and tried to pair them up. It was tricky going, because I have socks that are nearly identical. Close, but no cigar. So instead of ditching them all and buying new ones, I thought I'd take a Sharpie and number the socks. Pair number one got a number one written on the bottom of them, Then, pair number two, and so on. I ended up with 20 pairs of white socks. I put the ones that didn't have mates (I may find them later) or the ones with holes in them in a kitchen drawer. I put my worn underwear there. I recycle the socks and underwear as rags to polish furniture with, or to tie my tomato plants to stakes. Because I had a Sharpie and some common sense, I now have more white socks than I really need. There are some sock styles I like better than others, but at least I don't have to wear the same pair days in a row because I can't find another matched pair of socks. So, call it $20 or so saved, because I took the time to sort my socks and number them.

The Continuing Saga of My Bankruptcy

I think I mentioned the story was a long one, so I've broken it up into several segments. Here's another one. In the meantime, I'm going to complete my second financial money management course, as required by the bankruptcy courts.

So I scrambled for work, while my credit card payments ate into the $18,000. I eventually got work, but I had to add two part time jobs in order to feel like I was going to stay afloat. Then, within a month, I lost one job, and the other one ended.

I decided to go to trucking school. Long story short, nine months, eight tries at passing the CDL test, two schools, and $23,000 later (all on the credit cards) I finally got my license. I worked six weeks, got sick, then lost my job. Then, the real fun began. I was literally scared shitless all of June, 2008. I finally did get a full time job, and added a teaching gig, and for the first time was bringing home around $600 a week and feeling better. I wrote letters to my creditors, saying I'd pay them. I did pay off some bills, but the majority of them were too overwhelming. Then, Discover Card put a lien on my house. Since I co-owned the house with a relative, I couldn't lose it. So I called a lawyer. Had an appointment with him, and I didn't like his attitude. He wanted to know my political beliefs, and tried to convince me I lived in a ghetto (it's a starter house neighborhood, in a very convenient location). I called another lawyer and frantically filed paperwork while my worklife was sending me into another department, and lots of stress. I was convinced if I didn't have a heart attack then, I never would. Paperwork was filed, a plan was decided on, and I started making payments. That was May, 2010.

The Continuing Story of My Bankruptcy

I have another blog, but I have a bad habit of not posting on a regular basis. I'm going to try with this one, to actually post at least once a week, if not twice a week. I want to gather a "platform" for my "brand" and my "book" oops--it's actually going to be a book, no need to put it in quotes! But I also want to try and give hope to people who are struggling. Particularly those who are trying to decide if bankruptcy is the way to go. As someone in her forties, I had to decide if I wanted to be in debt for the rest of my life and have no hope of saving anything for my golden years, or declare bankruptcy and try to salvage something for the future. Since I'd spent over twenty years in some sort of debt, the decision wasn't really easy, but Discover card was about to put a lien on the house. Since the house isn't solely in my name, I didn't want that to happen, so I filed. Here's another part of the story. It's long, and since I know people are impatient, I've broken up the story into several parts. I also did that so I would have something to post every week.

So what's my story? I got a credit card at 18, courtesy of my dad, and it just got worse. My dad wasn't the best when it came to money, and due to my mother's intervention after my dad had surgery, she took control of the bills and paid them off. I wasn't so lucky. I stupidly thought I'd get a good job someday, and meanwhile, my debt grew bigger. I took on multiple jobs, but I didn't curb my spending. I'd try to avoid using credit cards, but my car would break down, or I'd have some other emergency, and because I had no money saved, I had to pay for it with credit. It was a vicious circle, and when I got laid off from my post office job, my mom didn't want me to look for work. Her health had deteriorated, and she wanted me to take care of her. I told her she'd have to support me (i.e. give me enough money to cover my bills, and no, I didn't tell her how much I owed) and we were able to survive on her Social Security. Luckily, dad had left her $40,000 in life insurance. Mom didn't have a lavish lifestyle, and she got by okay. Ironically, it was probably at the end of her life where she was the most financially comfortable. But she died, and the $18,000 she left me didn't go very far. I probably should have declared chapter seven while I was taking care of her. That way, since I didn't own property, I could have walked away from my debt, and I would have a fresh start, plus an inheritance. But I didn't. Hindsight is 20/20.

More to come!!!

Welcome to Recovering Bankrupt!

Welcome to my bankruptcy blog. I'm in the process of writing a memoir about my experience. It's going to have some humor in it, because I am looking at this experience as a chance to learn, but also as a chance to see what I can do when push comes to shove. Plus, I think adding some humor to a stressful situation might give a sense of, “hey she's going through the same thing I am, but I never thought about using my bathwater to water my garden with.. That's a good idea!” I'm going to try and update this blog at least once a week. I should probably go for more frequency, but right now, I'm going through very lean times. I currently have internet at home, but if I can't pay my bill, I have to scope out free wi-fi somewhere else. And if my car is on the fritz, it means I have to travel by bike. Suffice to say, there may be days when I don't have internet at home, and don't feel like going out for it either.

So, if you are thinking about filing for bankruptcy, read my blog! I am NOT a lawyer, so if you have any questions, I would strongly suggest you consult an attorney. I live in Indiana, and I can tell you about MY particular situation, but I can't really offer legal advice.

But here's where I am NOW. I filed for chapter 13 (the repayment plan) and was nearly done with it when I experienced a loss of income, then got hit with MAJOR surgery. So my plan was converted to a seven, and I expect that to be done withing 60-90 days, once I take my second financial counseling course online.

How did I go from a chapter 13 to a seven? Stay tuned...