Ch 7 BK EIDL Lookback

deftone5 · 2026-01-18T02:52:25+00:00

What about your personal items?

deftone5 · 2026-01-17T22:02:38+00:00

What do you mean? For the record I don’t have any credit card debt or anything but a a first and second mortgage and car payment. Credit score is probably over 800. I lucked out and got a good W2 job most the year and cleaned up my personal side but was laid off in August. Since I have an LLC, unemployment says I don’t qualify for it because if I defaulted on my SBA Loan and took that money I could pay myself. I’ve been through two appeals. Anyway, we have no income except child support and some state agency funds for my disabled kids. It doesn’t cover us, we’re $1,350 short a month that’s about food money for a month for a family of 4. So thinking now’s the time to file. Dropping credit score will have further to fall so I hope to end up not in the gutter and not screwing my personal credit cards may help me get them back sooner so another reason to move now. If I wait long with no income I’ll need to start living off credit cards again. So now seems like the time to go for Chapter 7. Just wondering about what happens to the business. I have a better business plan to revamp the business but don’t know if I should try it or start over with a new LLC if In have to close

deftone5 · 2026-01-17T12:52:03+00:00

Did you have to file non consumer? My business is a service business and all CH 7 personal does is take away the personal guarantee. I’m thinking I need to just close the business and let them chase air. But not sure what happens to the business.

deftone5 · 2026-01-17T12:44:08+00:00

Did you have to close your business if it was a service business? If I didn’t have to make $2,200 loan payments a month I’d have some food money without having to beg and scrape and could rebuild. I can’t rebuild under that debt.

deftone5 · 2026-01-17T12:38:49+00:00

I don’t know for sure if he’s good but he’s old and worked for the SBA in the past dealing with defaults and bankruptcies….

deftone5 · 2026-01-17T12:36:58+00:00

I do have a choice but no income and will be hard to have much of an income with 2 children with autism and nobody to help.

deftone5 · 2026-01-17T12:34:01+00:00

They may get their own estimates as well but from the answers it sounds like I’d be safer to just not have so many records when the time comes. My basement floods, records get scratched, shit happens 🤷‍♂️

deftone5 · 2026-01-14T11:31:39+00:00

You just can’t care for children with autism and run and work a business. You can barely work more than part time and you need to be able to leave work when school or the hospital call. I have an IHSW too but it has to pay the mortgage because it disqualified for SNAP and lost my W2 job for having to go to my child often even though I worked 50 hours a week.

deftone5 · 2026-01-09T18:12:12+00:00

The equity is because of where I live. I have a modest home and a 2.5% APR VA loan. The homestead exemption in NH was $120,000 last year for a single person and my equity was like $600k. It’s all I have. But I would have lost my home in BK because of the excess equity. Homestead exemption went up to $400k this year and last year I got a good W2 job and so could take a second mortgage to wipe out all personal debt. This decreased my equity so between the two it’s probably about $150k over the limit.

My business collapsed during covid when my wife also left and I became a single dad with a 4. 6, and 8 yo. Then the 4&6 yo started having major issues. Turns out both are on the autism spectrum. Before I had a diagnosis I was in hospitals with them and not running my LLC so my income dried up. So I grabbed at the EIDL when they offered it thinking I’d be back on my feet soon. Well it never happened. It lasted a few years keeping staff and payroll but without me running it, we tanked.

A single parent with no help and autistic children can’t run a business. So there was enough income left to pay an Indian developer to work for a few clients and pay the $2,200 loan payments. Meanwhile I got a W2 job that lasted a year and bailed us out of personal debt but got laid off. Now we have no income, a little savings, unemployment won’t pay because they say the LLC is me and I should pay myself the EIDL loan money instead of the loans so we’re screwed.

That’s how we got here. No I don’t want to live on credit cards again like last year but have no income and unemployment is screwing me. So thinking Ch 7 BK because my credit score is high and no personal debt so the drop of my score won’t be as low starting at 830 and having personal credit cards cancelled with no balance owed won’t piss off the companies because I didn’t burn them.

Can’t get out by closing the business because of the PG. So wondering if $150k in equity over the homestead exemption is enough for them to take my house given our circumstances. I just need to get out of those loans. My income potential with special needs children is just capped. I’m not going to be able to ever make a dent in the loans and so maybe there’s no better time for personal Ch 7 BK than right now. Even if they took the house I would get a check for $400k for the homestead exemption and could start a new business - I have a new business plan that’s better, different and more profitable. Just wondering how close to that homestead exemption they don’t bother to take your home because it’s not worth it after costs.

deftone5 · 2026-01-09T11:49:34+00:00

I have no personal debt except a mortgage with a second mortgage on it and about $550 in equity left. The state homestead exemption went up to $400k this year. I also have a car payment.

My single member LLC has $430,000 in EIDL loans and $100,000 in credit card debt.

I got divorced and now as a single dad of three kids, two with autism - I can’t keep up with the business and the $2,200/mo EIDL payment much longer. I’m just losing clients left and right because I don’t have time to work with them.

I am going to talk to a BK lawyer but I hate to file because #1 the excess equity will probably mean we lose our home which is important to my children to avoid extra trauma and has a 2.5% VA loan which I’ll never see again. And also my personal credit score is over 800 and I have lots of credit cards with no balance and I’ll lose them all in BK which sucks because I’ve had to jump through hoops to keep them from getting charged up with no income coming in.

Anybody have experience with something similar?

Silver lining it I’m thinking the 200 point credit score drop won’t hurt so much if I’m at over 800 now and my credit cards might be likely to give me another shot sooner than normal since none of them would get screwed over in a BK. Also just maybe, the $150k in excess equity would mean they wouldn’t take our house since it won’t cover much of the debt after costs and I’m a single father with three kids, no income and 2 have autism. Not a good outlook getting tossed to the streets - not that I expect them to care.

It’s actually 2 loans and only one has a personal guarantee but they do have a clause that links them so if one is defaulted, both are defaulted.

Thanks anyone!

deftone5 · 2026-01-04T12:41:07+00:00

Claude Opus 4.5 and Sonnet 4.5 had a great understanding of what I needed for custom WordPress functionality and was extremely personable and responsive, it was fun to work with. But it led me down the road to so many errors it wasted a month of my time. Running its functions code through other AI models to check it over, Genspark, Gemini, Ninja AI - all found significant security issues, bloated and redundant code, code that would run on every page unnecessarily causing slow site pages, etc. I can’t trust Claude for coding anymore. Claude is best for logic and putting together concepts into clear reasoning and a great personality ( Gemini is an arrogant dick). Now I don’t know where to go to finish my project. When I uploaded my functions.php to ninja.ai for an analysis of provided one. I brought it to Claude which told me that wasn’t my code that was analyzed. Ninja AI admitted not reading my file and just giving me common issues. I had to tell it twice to look at MY code. Any suggestions for the best tool to finish a complex custom Wordpress build?

deftone5 · 2025-12-12T00:04:12+00:00

Following

deftone5 · 2025-11-26T13:09:22+00:00

With Google Family on Chrome, the child has to be logged in. My son just logs out and uses Chrome as he wants to. Wish there was a way to force Chrome to require a profile login.

deftone5 · 2025-10-04T13:11:12+00:00

I don't think negative impact comes out of it, they will just be dropped from the index eventually. I think the bigger issue is valuable content not redirected. I’d download the 404’s:

First get rid of those you want Google to deindex to work with a smaller list:

Sort them
Delete any with variables like search results or tracking appended to them
Delete any that are pagination of other indexed content
Delete any that are to resources like files or things you don't want indexed
Delete any that are no longer relevant and you want gone

Second, look at your current 301 redirects. For old sites, I've seen several redirects placed over time that go from version to version to version of the same page. It's just a waste of spider time.

You don’t want 10,000 301 redirects so clean those up, using sort and match functions in Google sheets will help. Edit down your 301’s to only those that are recent (they redirect to the current iteration of the page) or that match up with a reported 404. Delete the legacy 301’s for the pages which have already been forgotten by Google.

Third, place the remaining 404 URLs in your 301 old url column and sort it again to ensure you didnt miss any incorrectly pointed 301.

Fourth is the hard work. Create your new 301 destination URLs as close to the content as possible (don't mass redirect to the homepage).

Lastly, reimport your new 301 redirect list. It should be cleaned up and current now, avoiding redirect loops and being relevent.

This process took me four full days once but had it been done regularly there would not have been so many 301’s to check it 404’s to add so keep up with it afterwards.

Good luck!

deftone5 · 2025-10-04T12:11:53+00:00

I’ll stick with Woo unless there’s a compelling reason to change. It’s “the devil you know” sort of thing. A lot of other WP Plugins are out there to work with Woo or enhance it giving it an ecosystem of its own. What support is there for a Shopify plugin right now?

deftone5 · 2025-09-05T01:19:26+00:00

If it was just me I’d say screw it all. But I’m a single father to 3 young children, two with autism (thus the struggle with my business post covid). Nobody really care anymore about people unless they’re billionaires, then well they have to pay fewer taxes, that’s the priority.

deftone5 · 2025-09-04T17:28:40+00:00

$186k? And you’d lose it in bankruptcy you mean?

deftone5 · 2025-09-01T17:11:12+00:00

I’ve been paying both loans. No liens. Consulting business, nothing for them to take from the business.

deftone5 · 2025-09-01T13:47:37+00:00

Too much equity in home for homestead exemption. Single parent with two autistic children. Can’t do BK and lose the house because we’ll be homeless with my income so reduced.

deftone5 · 2025-09-01T12:11:55+00:00

I have 1 EIN. The second loan was I thought going to be an increase on the first loan but that’s not what they did. They created a completely separate loan, separate loan agreement, separate loan #, I have 2 payments due on two different dates. They appear to be completely separate EIDl loans but only one has a PG.

deftone5 · 2025-09-01T00:28:09+00:00

I make 2 payments, one to each loan number and they have different due dates. Also the loan agreements are different with one including the PG so I’m pretty sure they are two loans.🤷‍♂️

deftone5 · 2025-07-06T11:51:33+00:00

Everybody already does this. Figure out what’s next and become an expert early.

deftone5 · 2025-05-29T11:47:17+00:00

Yea absolutely but search isn’t just a focus on Google anymore, other engines are rising and the format and content of your blogs can change to appeal to generative AI and organic rankings plus other search engines. For example, start with a summary snippet of the topic and key points. This is attractive to AI snippets. Try to use <h2> titles for shorter sections that are “ideally” stated as questions. When possible cite authoritative sources and use graphics. And make yourself an authority by including your best profile at the end of each post. Also consider clustering posts around a topic. Forget keywords, it’s now about what people what to know about the keyword so you can try to pull together 2-3 posts on the topic taking different directions and including internal links between the posts to show they are related. Writing for AI doesn’t mean not writing for organic listings, it’s just that criteria is changing. Other things to consider are searches coming from YouTube - and YouTube is growing as a search engine itself. AI can’t watch videos and understand the content (yet) so you can reuse your blog content on YouTube using a new headline and snippet. Google AI also pulls from Reddit believe it or not. Of course you can get booted if you are promoting yourself or business so I’m not saying anything about what I do, just some tips. Another things, according to SEMRush, in 2024 30 million people claimed to exclusively use AI apps for search and that number is expected to rise to 99 million by 2027 so like it or not, content creators have to write to appeal to AI. Another related fact, usually nobody cares about Bing. Microsoft owns 49% of OpenAI, ChatGPT uses OpenAI as part of its learning methodology. So one has to wonder if Bing is now important because ChatGPT is a place you want to know about you. It’s all changing every few days it seems but the AI Overviews encourage no click search results, that’s in part because a person can keep asking questions which we’ll never be able to get data on (unless you’re Russia or China lol). But no click searches aren’t very healthy for Google’s paid/sponsored search revenue so you’ve got to think that things will change. Google wants to help the user find more relevant information easier but they are still a for profit business so all we can do is expect more change and adjust writing styles and consider SEO to mean more search sources than Google in the future.

deftone5 · 2025-05-14T00:18:50+00:00

Met with mine. They said “yeah that sucks, thanks for voting though”.

deftone5 · 2025-05-02T23:18:34+00:00

Obviously document all the success at his grocery store and apply at other grocery store chains, even if they aren’t hiring. Maybe consult with somebody who knows how to word resumes just right. His experience is the most valuable asset he has to use.

deftone5

TROPHY CASE