Filing for bankruptcy question

Hi,

Unfortunately, I'm coming to the conclusion that I have to file for bankruptcy. I'm wondering if I have any other option. Is it really the best thing?

The lawyer I consulted costs $2800 to file BK. How do I find a less expensive lawyer, and how will I get the money to pay him/her?

My debt is just about the amount of my yearly income ($32,000). I have a retirement account with about $10,000. No other assets. Should use the money from my retirement account to pay off some of the debt? Creditors are offering me deals of 20-50% off the total balance if I settle with them. (2 of my 4 credit cards are in default).

I'm concerned that BK will mean I can't get another apt if I want to move; or buy a condo sometime.I live with a housemate because I live in an expensive city and can't afford to live alone, though I'd like to.

I'm single, rent, self-employed. I owe 2 years of back taxes which I'm paying. I owe two friends a couple of thousand dollars. This all feels horrible. I have a chronic illness that keeps me from getting a job outside the home.

Thanks.

I am writing this to say, you are not alone; I know the idea of staying positive is difficult. I am in the same position as you, but truly believe nothing just happens. I am trying to hold on to see what is on the other side of this challenge. Whatever does not kill you will make you stronger, right?

Although, I have not filed, have contemplated the possibility just to stop the madness and move forward.

Have you contacted a credit-counseling agency to see if they can set you up on a debt reduction plan? Have you cut your expenses as much as possible? Try to think of ways to create new business for yourself, such as outsourcing your services to businesses. [typing, data entry, etc]

If BK seems the only alternative interview several attorneys, consider those in a neighboring town. I am told bankruptcy is not the end of the road and that many are able to purchase homes after two years of on time payments.

You are a valuable person with much to offer the world; this is only a temporary situation. I stand with you in suffering but have not given up and continue to search for alternatives.

I am at the end of my rope. The lawyer I consulted wanted $1200, and I thought that was bad. Today, I will talk to National Debt Relief. If anyone has any advice, I could sure use it. I am not into debt as bad as most but all my credit cards and unsecured loans are maxed out and cannot pay them as well as student loans. So I am doomed. I hope I don't lose my car thru consolidation. HELP!

The lawyer told me I should have gone bankrupt last year before they changed the law. He was a real *ss, so arrogant with his feet up on his desk while he was talking to me. But the consultation was free and I got a LOT of info from him. So, he will get nothing from me. I'll find another lawyer if I choose that route.