in the negative on means test

[brokeNconfused]

IF YOU fall in the negative on the means test does that mean I would fall in to the 3 year plan at the lowest payback available?

[lrprn]

IF YOU fall in the negative on the means test does that mean I would fall in to the 3 year plan at the lowest payback available?

Pretty much the only folks who get confirmed for three year Ch 13 plans these days are those that earn under or right at the median but still show at least $160/month disposable income on Schedules I and J (usually because they don't have big assets to even out the schedules). Everyone else gets five year plans.

In Ch 13 payback is not determined directly from how much you make. It's a complicated comparison of income vs expenses vs. assets vs. exemptions with local variations in how the law is interpreted thrown in for good measure. There's precious little black and white in Ch 13 - mostly it's a lot of gray based on local customs with inconsistent case law decisions thrown in for good measure...sigh...

[yak411]

My attorney requested 48 months because he said that the trustee will usually reject if you ask for 36 months (the shortest) but I did not want to pay for 60 months so we opted for a 48 month plan..Well it was confirmed at 52 months!!! I am very please with the shorter plan. Nothing wrong with trying...it does depend on the trustee.

[brokeNconfused]

well i know i am under medeian and believe ill show no disposable income based on family size and expenses..

[danaf]

then why are you doing a 13 and not a 7?

[brokeNconfused]

because my house in on a variable intrest rate that kicks in, in 2 years. I want to keep credit well enough to refinance house into a fixed rate. Ill have the equity then. hoping for a small payback on 3 year term with a 13

[yak411]

You are taking a gamble that you will have equity with the current housing market.