Advice badly needed/in a panic!!!

[sheilaE]

Yes, we definitely need to make changes. We did manage to put some cash away once we stopped paying our bills, but there never has been tons & tons left over each month. We added the extra car with a payment of $388.00, plus car insurance went up, so that took up a chunk. The cable bill did manage to grow and so did the cell phone bill. We also started up with a lawn service when our mower died. Our savings isn't huge...two car repairs took up a lot of it. One was over $1400.00 for a new electrical panel.

We don't qualify for a newer car...not after 2 years of not paying our bills. We pretty much had to bag and plead in 2010 to get the used chevy. Our interest rate is sky high on it. The atty was putting it into plan and lowering the payment from $388.00 to $108.00, so I guess if we switch then that would stay the same.

Also, there is no landline, just our cells....I plan on calling today and see how we can go about lowering the bill...same with the cable/internet.

Thank you also LadyInTheRed for the other link and a big thank you to everyone for your support. It's really helped me get through the last couple of days. Keep your fingers crossed for us tomorrow :/

[sheilaE]

I'm going over the IRS nat'l standards for auto, but I can't find what the gas expense is. Our atty was giving us $475.00 for gas, registration, insurance and auto maintenance. What happens if your auto expenses are more then that? We have 3 cars. Gas alone is $400.00, insurance is $208.00 and registration about $600.00 for all 3.

[Pandora]

agree with the others - get another attorney and fast.

What Bajan wrote is spot on, ... there's going to be massive issues in paying a Ch. 13 if you havent been able to put money aside in 2 years even with not paying creditors. Thats a huge red flag - and something for you to seriously consider. Sit down and figure out where all of your money is going... if you arent even close to what your Ch. 13 proposed budget is monthly that you proposed, then you wont be able to afford a Ch. 13 plan.

One big issue is having adult children thrown into the mix; some trustee's allow for certain expenses while others dont. If your kids have part time jobs...then that income may also be included.

Definitely get another attorney...

[sheilaE]

Hi Pandora, On the advice from the current atty, we stopped paying our bills and to use up some DMI, we bought another car, which ate up $388.00 plus we had to insure it for an additional expense of $100...that took up of close to $500.00 of the extra. But yes, I agree, we need to make major cuts...cell bill, cable, lawn service..our food bill is about 1100.00 but we are only allowed 700, so need to cut that almost in half. Our electricity is high at about 400/500. Atty said don't use the air...go jump in the pool to cool off (Our summers are over 100 degrees for months) but he's not allowing us funds to kept up the pool. Pools don't clean themselves, you need to pour chemicals in them ever month...we've always clean it ourselves becuz its cheaper, but he didnt let us claim it.....ugh.

[keepsmiling]

You might want to think about going with a 7 and settling the second later.
Plan B if you will.

[sheilaE]

We would if we qualified...we were told we didn't qualify.

[Floridagail]

Did the attorney tell you , your income is protected from creditors since it is pension. Did he tell you how to protect your bank account?

[keepsmiling]

By the same lawyer?
Nuff said.
You're under the median.
The smart folks here could figure out how to qualify you.

[pamkev]

We would if we qualified...we were told we didn't qualify.

Told the same thing but 3 lawyers the last lawyer we talked to was the only one who even discussed a 7. In the end we filed a 7

[Floridagail]

What did the new attorney sa?

[sheilaE]

We met with both him and his paralegal. We only had about 30 minutes with him before he needed to leave. He said he needed more time and wanted to go over everything in more detail, so we go back next week, but both both of them were very surprised at how tight the other budget was set for. The paralegal said there needed to be extra allowed in order to put away for emergencies that would be popping up throughout the 5 years. The other atty wasn't allowing for any cushioning at all. I'm very hopeful this one will be looking out for us and not looking out for the trustee.

[TheBajan]

We met with both him and his paralegal. We only had about 30 minutes with him before he needed to leave. He said he needed more time and wanted to go over everything in more detail, so we go back next week, but both both of them were very surprised at how tight the other budget was set for. The paralegal said there needed to be extra allowed in order to put away for emergencies that would be popping up throughout the 5 years. The other atty wasn't allowing for any cushioning at all. I'm very hopeful this one will be looking out for us and not looking out for the trustee.

Sheila,

Please do keep us posted. Also, this sounds hopeful but plan to meet with a couple more atty's as well. The different perspectives will teach you a lot and help you will widen your options. You may very well decide to go with this one, on the other hand, you may like someone else more. Consultations are free and what you will learn there is priceless.

Best of luck to you,

The Bajan

[Floridagail]

What happen at the meeting, are you happy with new attorney?

[sheilaE]

Thanks to all the wonderful replies on here, we took advice and hired a new attorney just before Christmas. We actually filed on Friday. The projected payment plan went from: $1600.00 for 5 yrs (old attorney) to $460.00 for 3 yrs (new attorney). Also said we qualified for a 7, which the other atty said we did NOT qualify for.

Is that shocking or what?!?! Has anyone ever heard of such a BIG difference in payment plans between attorney's? I still think something was terribly wrong with the figures in the old plan, like an error in addition. What else would explain such a BIG difference? My worry is: we went in to the new attorney "in a panic" about the old plan, so maybe their thought is--lets start them super low to make them happy? Could they be leading us on in that we are going to get into this affordable plan, but then the trustee tears it apart once he gets a hold of it and takes it up the $1600.00? After what we went through with the old attorney, I feel like I'm on guard.

I must say we really like this new attorney and his fabulous paralegal, who was absolutely on top of everything! I didn't have to call them, they called us & emailed us every couple of days with questions. The paralegal was INSISTENT that we UP our expenses. Told us we weren't allowing enough on just about everything. When we went in to sign, I questioned them if they thought the plan would get confirmed or would we be in for a battle, they told us that it may get approved 1st time or it may need to be tweaked a little here and there, but said nothing stood out, so they weren't expecting much of a change.

Now we sit and wait very anxiously for our 341. I hope it's soon and I hope getting confirmed doesn't drag out for months or even years...

Sheila

[keepsmiling]

AWESOME NEWS!!!!!

But truthfully, not extraordinary on this board.
Don't you feel sorry for people who never find us???
Truly, who knows how many lives have been virtually saved here.