Recommending Chapter 7 Bankruptcy For John Zales

This is the case of John Zales who comes to me from Brookfield, Illinois which is located in Cook County.  John is interested in a Chapter 7 fresh start bankruptcy.  He has never filed for bankruptcy before.  He does not own any real estate.  He is currently renting from a landlord in Hodgkin’s, Illinois.  It is a month to month lease.
In terms of vehicles, he has a 1997 Chevy Blazer which is paid for and it’s worth approximately $1500.  He also has a 1969 Chevy Camaro which is estimated at approximately $10,000.  He does have a promissory note from the landlord on that vehicle at $8000, so very little equity what you pay off the promissory note.
In terms of personal property, he’s got a checking and savings account at Bank of America with $200-$400 in the account, minor household goods of $400, three guitars totaling $1500 and normal clothing of $800.  He does have an annuity which is worth approximately $100,000 but he cannot take it out until retirement.  He also has a union pension, same deal.  He is divorced, he’s living by himself and he is currently a laborer and a foreman and he makes approximately $18,000 per year.  He is receiving unemployment right now because his work is seasonal.
In terms of expenses, it’s $800 per month for rent, $25 for water and trash, $120 for cellular phone, $75 for cable TV, $400 for food, $75 for clothing, $300 for gas and transportation, $100 for recreation and auto insurance on the two vehicles is $160 per month.  He is also on a payment plan with the IRS totaling $200 per month.  When you look at the income minus the expenses, there is no money available to repay creditors so in this case, I would recommend a Chapter 7 fresh start bankruptcy and eliminate the $4300 owed to American Express, the $16,000 owed to Discover and the $21,000 owed to Citibank.  So Mr. Zales, Chapter 7 is my strong recommendation for you.