Chapter 7 with about $10k in credit card debt. where do I even start?
I’m considering filing Chapter 7 and I’m completely new to this, so I’m hoping someone can explain what my first steps should be.
I have about $10,000 total across 10 credit cards, and that is basically all of my debt. I don’t have a mortgage or own a home, we rent. The only significant asset in my name is a paid-off 2006 Honda Accord worth maybe around $3,000, which I absolutely need for transportation/work.
I’m currently not working. I had to leave my previous job because it required full-time overnight hours, which was no longer possible after having my baby. We also cannot afford daycare, so going back to full-time work isn’t financially realistic right now.
I am actively looking for part-time work that I can schedule around childcare. I have applied to 20+ jobs and haven’t been hired anywhere yet. My father-in-law is willing to watch my baby during the hours I eventually work, but I still have to find a job that works with that arrangement. I also recently filed for unemployment and it looks like I may receive benefits.
My husband is working and supporting our household, but he has his own debts and we can no longer afford to keep paying mine. We’ve been budgeting heavily and have reached the point where we can’t even afford groceries on our own. We’re relying on food banks and help from family for food. I had to turn off autopay on my credit cards because there simply isn’t money available to continue paying them while we’re struggling with basic necessities.
I would be filing Chapter 7 individually, without my husband filing.
For someone with a relatively simple situation like mine, what should my first steps be? Should I contact a bankruptcy attorney first? Can someone in my situation realistically file without an attorney? What documents should I start gathering, and is there anything I’m overlooking?
My biggest concern is making sure I can keep my paid-off car, since it’s my only significant asset and I need it for transportation and eventually getting back to work.
I know $10k may not sound like a huge amount of debt to some people, but with no current income of my own and our household struggling to afford basic necessities, I simply cannot keep up with it anymore. I’ve never filed bankruptcy before and genuinely don’t know where to start, so any guidance would be appreciated.