Any "happy" stories?

[cwillie]

Hellow everyone: My husband and I are in the process of gathering up our paperwork to file bankrtupcy. Our attorney told us we have to file Chapter 13because our income is above the median. I was just wondering before we take the plunge, if there are any "happy" stories about Chapter 13. Everything I have read isn't very appealing. I know we got ourselves in this mess and have to suck it up, but just need some encouragement. Also, my daughter is in college and I give her approximately $300.00 per month to help with her expenses. Will this even be considered? I am concerned, as is everyone, about having any extra money after filing. Thanks for any responses.

[catalina2225]

I would have to say that filing for chapter 13 was the very best thing that I could have done for myself. I am single and above median and was in debt for 56,000. I can't believe how low my monthly is compared to what I was paying in credit cards each month. This is the first time I have been able to breath and relax in years!! Good luck to you.

[cwillie]

Thanks so much for the encouragement! I was beginning to wonder what to do, although we really don't have a choice as we have no rich relatives or anyone to bail us out - nor should they as we are the ones who created this mess in the first place.

[nervousnellie]

Freedom

It was 42 months in Ch.13 for us,but the time was well worth it.We were discharged last June and this has been our first year of freedom since credit cards were invented!

[Flamingo]

Yes, we were able to keep our house which my husband built in 1978. Chapter 13 allowed us to do that and knowing that helped get us through the Plan without much complaining, whining and griping. If not for being able to file Chapter 13, we would have lost the house (but we had friends/family ready to come to our rescue to help out if necessary if it came to that - we were truly thankful for that also). Yes, the money situation is tight after filing but we found out we can actually stay in the house, watch movies and make popcorn and have fun instead of going out to eat and to movie theaters, etc. We also started cooking together to save food costs and had fun working on new recipes. We brought out the old Monopoly board game. There are good times and bad times in Chapter 13. The hardest is adjusting to the new lifestyle you have to live and learning to live by cash only. If one cannot adjust to that, of course they will be miserable.

[cwillie]

It's nice to hear that someone else plays games - I love Yahtzee and of course, now my husband "has" to play it too!

[wayne-o]

I wouldnt say I had a happy 13, but it went through pretty smoothly. I was fortunate to have an attorney that wrote a budget that was ok with the trustee and gave me some wiggle room. I was also able to pick up a "cash" 2nd job to earn a few extra $$$. While it was not all fun, the relief and the lessons I learned about budgeting and living within my means were worth the struggle.

[kyjoe]

Yes there are some stressful times, but not nearly as stressful as worrying about how you're going to pay all your bills on time. We filed under the old law,so we were put on a 36 month plan. Only 6 months to go and we should be all finished !!
Truthfully this was probably one of the best things we ever did. Made us realize how much money we were wasting, and charging stuff we really did not need. We are actually getting along pretty well without using credit cards and I do not believe that will change after we are discharged. We will be living a different life style then before, but should pretty much be debt free!!
As for sending your daughter money for college, our daughter is in a private school (grade school)and we were worried about having to take her out. The tuition is around $400 a month and they said that was an allowable expense!!
You can make it through this. It's not as bad as it seems at first. You just have to get used to doing different things. Being completely debt free (except for the house) is a very nice feeling. Good luck !

[ruggal]

I'll echo that although it's not easy, life in our 13 is vastly better than before. We had a failed business, and basically no income for awhile. It's been a good wake up call about wants and needs. Also, having a good attorney, who's familiar with the local trustees tolerances makes a huge difference. We had some wiggle room in our budget as well, and after we filed, I immediately went about cutting every bill I could (negotiated with cable co, changed insurance coverage..you get the picture).

Since we filed, my husband lost his job, and his salary was cut in half. I took a part time job to make up the difference (in addition to my full time one) about six months ago. It hasn't been easy, we eat a LOT of pasta, and only go out to dinner twice a month (does Chipolte count as dinner out?). We were able to get a 36 month plan, and are now 12 months into it, with 24 to go, not that we're counting hehe.

Husband is back at work, salary is low, but looking into another offer that most likely will get us back to our original 13 budget. I may just keep the part time thing for another month or so, just to get a little cushion. Good luck!

[2ndChanceTx]

I am in my 35th month of a 41 month plan, and there is a light at the end of the tunnel!

I owed about 110K including 20K in back taxes, 7K on a car and 83K on unsecured when i started the 13BK process, talk about hopeless spot. Wife's unemployment, then divorce and irresponsible depression spending were my largest contributors.

I have paid in over 46K so far and have another 4-6 months or 9K left. I kept the car out of the plan, so when that paid off a few months back, it gave me some additional breathing room. June will be my 36th month and I am under the old law, so I will be able to pay off a month or two early(or I may just let it run to the end). It will be unreal to have an additional $1500 month and no bills apart from rent/utilities. I have been saving a little every month and live on a cash basis. I plan on staying on the cash basis when I complete (except for cars/houses).

For me the 13 was about a big failure in my life, now I am starting to see that it will be a fresh start as well.

[cwillie]

It's nice to hear some "good" stories about Chapter 13 because I wasn't seeing too many. I'm going to call and set up our appointment today to meet with our attorney to do final paperwork. I'm waiting for our stimulus check first before meeting with her though so we can get it out of the bank. We'll use it to pay our attorney fees - don't think I want the trustee getting it! I'm still curious how much we are going to have to pay on the plan though. After paying our mortgage, car payments, utilities, groceries and the norm, we don't really have lots left, only about $300. Haven't paid our unsecured for six months. House and car payments are current - finally - that took about us four months to catch those up, so they won't have to be included in bankruptcy.

[$$only4ever]

Even though I am in a 5 year plan, it has not been bad at all. My plan has some "wiggle room" and the trustee never bothers us. 24 months to go and I am freeeeeeeeeeeeeeeeeeeeeeeeeee

[jgarton244]

We completed a 42 month plan. It was not real rough, but a few bumps in the road. Had to let one car sit for a few months until we had enough to cover repair costs. Our daughter was also in college while we were in our BK 13 plan. We were not allowed to take any income for college costs, as she was 18 and legally, we were no longer responsible for her, according to the trustee. Our daughter worked two jobs in the summers, and during college she worked in the college bookstore and managed the college newspaper. She paid her first two years on her own. We finished our plan when her third year of college started, and we were able to help her with some expenses. I think our experience with BK made our daughter very financially aware. She is now on her own, in graduate school, working 20 hours a week at Petco, 20 hours a week at a museum, and 15 hours a week in a jewelry store, while going to graduate school full time.

We have been finished for 30 months. No debt except$60k mortgage, and we pay extra each month now, and hope to pay off home in four years. No credit card debt, no car loans, have savings in the bank. 7 years ago, we were in debt over 100k,plus $115k mortgage, with no savings and falling further behind each month. I only wish we would have filed earlier. Going through the BK 13 experience has made us able to stick to a strict budget, really think about what we purchase, and gave us a discipline financially that we did not have before.

[MajorMike]

Isn't it neat how Chapter 13 brings families TOGETHER instead of tearing them apart. Spending quality time is better then spending money any day!

Yes, we were able to keep our house which my husband built in 1978. Chapter 13 allowed us to do that and knowing that helped get us through the Plan without much complaining, whining and griping. If not for being able to file Chapter 13, we would have lost the house (but we had friends/family ready to come to our rescue to help out if necessary if it came to that - we were truly thankful for that also). Yes, the money situation is tight after filing but we found out we can actually stay in the house, watch movies and make popcorn and have fun instead of going out to eat and to movie theaters, etc. We also started cooking together to save food costs and had fun working on new recipes. We brought out the old Monopoly board game. There are good times and bad times in Chapter 13. The hardest is adjusting to the new lifestyle you have to live and learning to live by cash only. If one cannot adjust to that, of course they will be miserable.

[MajorMike]

One thing I would do, though is tell your daughter to get a part time job to help you out because you can't support her forever. When I was 16, I had a job in high school and then when I graduated. Right now even, I am working a full time job, 2 part time jobs and going to school full time. It can be done. Oh, and I'm on the Deans List, too.