Pro-Se filer with question...

[cajames]

OK... so far everything has gone so good...

I filed a couple months ago and my confirmation hearing is Thursday.

However, I called the trustee this morning to find out if there would be any surprises, or if she needed more information.

When I completed my means test, I had about $20 of disposable income (after my secured and unsecured priority claims were paid). On my plan I put that I would pay $50 a month for the 5 years. Fortunately or unfortunately, that $50 meant that the unsecured's would be getting paid at about $0.03 on the dollar.

The paralegal said that the trustee would never allow someone to only pay at a 3% rate, and that the lowest she has ever gone was 15-20%. If the numbers are what they are, how can they flatly deny it? I'm confused...

I know someone here will tell me to hire an attorney. I know, I know. There's just no possible way to do that right now. I've got no pension to borrow from, no family to borrow from... It's just not an option.

Any thoughts?

[HHM]

If you only have $50 in disposable, why are you filing chapter 13 in the first place. If you have less than $100 disposable per month, you generally do not need to file Chapter 13.

Regarding an attorney, you realize that "most" of the attorney fee is PAID through the chapter 13 plan, your out of pocket is actually quite low. There is ABSOLUTELY no reason not to hire an attorney for a chapter 13, there are too many pitfalls in a chapter 13 for a pro se filer. In any event, it's too late now...no attorney will jump into the middle of a pro se 13 on the eve of confirmation.

My guess is, its not so much that the unsecured's need to get a certain percentage, what they need to get is the equivalent of the liquidation value of your estate. I.e. the amount the unsecured's would get if you had filed chapter 7.

Also, has the trustee actually filed an objection to plan confirmation. (you would have received a copy in the mail)?

In any event, all you can do is go the hearing. If things don't look like they are going your way, you may ask for a continuance. (whether the judge will grant one is another question).

[cajames]

Actually, I've called 14 BK attorney's here on Long Island. The lowest retainer I could find is $2,000, and they all have another $1500-$2500 built into the plan.

People are right when they say things are more expensive in New York.

No objections yet... I'm keeping my fingers crossed. I can't do chapter 7 because I filed back in 2002.