So, long story short this is a brother to me. We're not related but we've been through a lot. I invited him to live with me splitting expenses when he was on his last dollar. I promised him that I'd never let him be homeless again. This was late April.
He came from another state and had an SO. He had an apartment under his name with her and (stupidly, which I told him not to) financed a 2016 Kia something. Came out to like 16K initially. He left the SO and the car out in the other state and came to live with me after things with her spiraled downhill. He knew that being around her wouldn't be healthy and he couldn't progress. So that's the back story.
Foolishly, again against my advisement, he left the car (which is joint responsibility in between the two them in the other state in the SO's hands instead of giving it back to the dealership. Four months later, we were thinking about a small personal loan so he could get a $1,500-$3,000 car just for work and a small $1,000 emergency fund. So... we run his credit report.
A fking 486, 492 and 496, from all three major credit agencies and **5 collections accounts, 4 of which were tickets (that he knew about, but didn't know hit collections) and the 5th which blindsided the both of us, $499 past due on the vehicle with the last payment received on f**cking April 1st, 2017 and the first delinquency on June 1st, 2017.
Here are the debts in total (not 100% accurate cause I'm on laptop not home PC):
- Car, joint with SO - $15,500 initial takeout. About 14,000 owed. No payment since 04/01. He hasn't spoken to old SO in months. Do you think the repossessed the car? What should he do about this?
He wants to give them back the car but if they're gonna take the car and make them pay the $14,000 debt, then that'd just be stupid. What if they take the car for used value (I guess $9,000), remove that from the $14,000 debt and split it evenly amongst the two debtors? That would be ~$2,500-$3,000 sans any fees. Is that how they do things or?
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Ticket from old state for license suspension. Owe's $3,000 on license, takes $1,000 to get reinstated but the collection debt is $1,272.
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Ticket from old state. Don't know what it is. He has about 3 of them all around the $3-$500 range. I'll ask more about what these are from exactly, but I'm more worried about the financial ramifications.
Like the title says, yes, my roommate is about the closest thing to at the lowest point I've ever seen. He has $0 savings and probably $100 to his name after bills. He doesn't have a car and I couldn't even give him my old one to get a better job but he can't even drive it cause of his suspended license. He has no college credits and has failed out of two different state institutions (sigh, probably both of which he owes money to now).
He works 35-40 hours a week at Dunkin' Donuts making like $10.50/h. I don't want this to be my brother, I don't want this to be his life. I just don't know how to get him out of this spot. We are literal complete polar opposites.
All family is in another state and he grew up in the foster care system. He left foster care on his own when he was 18 for the freedom. Is there anyways we can get the benefits back from him or?
I'm the one with the 739 credit score, 51 college credits, job for last 20 months, two cars in my name, $0 debt, 4-digits savings and the apartment is in my name. I really don't know how to help him out and it's so, so, so frustrating.
Please, please, please, anybody that could give us any guidance would be SO appreciated. I mean wholeheartedly. Because it's draining me because I care so much about this kid and it's clearly draining him because I mean, just look at that situation.
Is there anything we could do? Any trades you guys would recommend? Changes don't have to be immediate, but they just have to happen ):
Thanks so much guys :/
EDIT: Should he file for bankruptcy? I mean, his credit is so shit that it wouldn't make a difference but I KNOW that nobody wants to speak to you for the next 7 years after that, and I wouldn't call this an amount of "unrepayable debt."
Submitted August 29, 2017 at 08:53AM by IPatEussy http://ift.tt/2gn8XFm
