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FlyChicc

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Should I declare bankruptcy or try a debt management plan?
I am approximately $12,000 in debt. I am currently employed part time, raising my daughter on about $1000/month. When I split up with my ex-boyfriend of 8 years, I was left with all the debt and then 2 weeks later discovered I was pregnant and had to cover all those bills too. I am reluctant to return to work full time until my daughter enrolls in school (next year), because a month of daycare is about the same as a month's rent, even at the lower end centers. I would like to get my credit repaired the best way possible, but I'm unsure if a DMP or a Chapter 13 would be best. Any advice would be greatly appreciated. Thank you.

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Any child support?

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Those breakups are the pits, and it was worse with the pregnancy.  Have you notified him about this child, since he should be paying child support?   You didn't create this child by yourself, and you can get court order for the child support.  Please give some consideration to that, if possible.

You may wish to ask a bankruptcy attorney about any debt management programs.  I'm reluctant to recommend them because any of the companies I've heard of were expensive and unethical and I'm a lot older than you are.  Bankruptcy attornies usually offer suggestions on viable alternatives to consider before filing bankruptcy.  And they usually give the first consultation for free.

Chapter 13 is a possibility since the damage to your credit would be about 7 years, and that's about how long the debt would remain as a problem anyways.  

Check, also, the statute of limitations on debt collection in your state.  If you haven't paid anything on some of those bills within the statute period, they might just be uncollectable.  To find out the standings on all bills,  go to freeannualreport.com and check all 3 credit reports.  File a dispute on any bill that is not yours, and do so with the credit  bureau reporting said item.  They have to investigate and either verify or delete these items.

Hope this is of some help.

Reply by
FlyChicc

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He is paying child support (it's garnished from his paycheck so he doesn't have a choice).  The last couple years I've been trying to get back on my feet while raising my daughter basically by myself (her dad sees her about 4 hours per week).  Now I'm trying to get my credit cleaned up so I can start building an actual life for us.  Thank you so much, I will definitely look into the statute of limitations laws to see what may be uncollectable.

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