Chapter 13

[Pattie Smith]

We are about to file for Chapter 13. I just wanted to know if anyone has any idea if there is a cap on the percentage of payback of debt is?

[Flamingo]

You can have a 100% payback Chapter 13. Your financial and debt situation, together with other factors depending on the state in which you reside, will be the indicators as to what percentage you will pay to your creditors. Also note the Trustee is paid a certain percentage of your Plan also.

[Pattie Smith]

So we could possibly have to pay back 100% of the debt??? We live in the state of Texas.

[Flamingo]

So we could possibly have to pay back 100% of the debt??? We live in the state of Texas.

You asked for a "cap" on what percentage can be paid back during a 13. Chapter 13s can be paid back at any percentage right up to 100%. I've seen people post paying back 4% up to 100%; ours was 64%. It all depends upon your entire situation and an attorney can provide you with all the correct figures as to your particular financial situation.

[Peevee]

They have me at 51%

[2bfree4me]

My payback is 20%

[Pattie Smith]

Thank you everyone for your help. I just went on Friday to see an attorney, actually I spoke to a legal assistant. I just had rough estimates. I have another appt in one month and I will have all the facts together. I did not know that you would possibly have to pay 100% back...I hope not or we wont have any money left. I am scared to death and could not sleep after learning all of this on the forum. the legal asst did not give me any details on the payback. Please if some one could give me an example of how they arrive at the % of payback. 70,000 unsecured cc debt at 70,000 gross earning per year???

[ameliabedilia]

We need your net income each month and expenses. It is determined by how much disposable income you have at the end of each month.

[Pattie Smith]

Our vehicles are paid for. Is there a chance the trustee can take them??

[Pattie Smith]

The more I read the more I am freaking out...

[qwertysue]

It's easy to freak out at first. What you are reading are all kinds of scenarios. Remember that your case will be totally different than anyone elses. Have you posted your basics: State, income, expenses, assets, etc all in one post?

Once you get all this information down, you can start weeding out the circumstances that don't even remotely resemble yours.

Also, with knowledge comes power and a peace of mind!

[ameliabedilia]

If you are in Texas than you are already lucky. It's one of the best states as far as being debtor friendly.
It is best to post all your basic info and everyone here will help you.

[Flamingo]

The more I read the more I am freaking out...

There is absolutely no reason to freak out although I'm sure some of us truly remember what an emotional/awful time it is just before filing and all the questions involved .... once you get the initial process over things will fall into place and you will be on the road to recovery. What the other poster stated to you is correct - all situations are different. Your plan payment amount is the result of all sorts of items that need to be reviewed. Debt total, income, assets, etc., etc. and without all that information, no one can give you a figure as to what your monthly plan payment will be or what percentage you will be paying back. When you initially visit an attorney for a consultation, they have you bring in all that information and they will advise you what Chapter you can file and if it is Chapter 13, what you will be required to pay back. There are exemptions involved also and those vary by state. Since you are in Texas, if there are folks on here from Texas maybe they can chime in and help you out a bit.

[Pattie Smith]

Thank yall so much, I am feeling better already. When I went to see the lawyer on Friday I was overwhelmed. I wanted my husband to go but he had to work, four ears are better than two. LOL As I gather all the information I will post. I hope someone from Texas would share their experience. Yall are the best....

[robivi3]

Save the "freaking out" for discovery after your meeting. You may get a reasonable Trustee. If you haven't filed then you are causing yourself to much emotional stress. It has a beginning and an end and you will get though this.