Big Mistake?

[bam531]

Hi everyone. I am new to this site and have searched to see if this question has been ask before. Does anyone feel like they are worse off after filing chapter 13 then before? We filed in October 2007, and thought that we would be ok. We are struggeling worse now then we were! My hours have been cut at work, gas and grocery prices are up and rising. I am having anxiety attacks and bouts of depression and ready to call the whole thing off!! We are paying 2,000 a month on 2 cars and a house. Our payments were not that high when we were paying those 3 things! The unsecured creditors did not file petitions. The trustee takes all of my husbands bonuses and now she has taken our stimulus check. Both cars need tires, the bathroom floor needs to be replaced, the heat pump needs to be checked
( its acting weird) and we havent paid our land taxes yet ( due in Feb). We have a meeting with the trustee the end of June, and I dread it. She was pretty rude at our first meeting. (No compassion at all for us or anyone else)
Our son and his wife and child moved in with us in Feb and they try to help, but they are trying to get bills paid off so the can buy something of their own. Should we tell her this? Don't think we can convert to Chapter 7 ( did that 5 years ago). What happens if I lose my job? What happens if we decide to pull out? Sorry for sounding whiny and dramatic, I am just worried. Thanks for any advice.

[Cali]

Is the house really worth keeping?

You should be able to get your payments lower if your situation has changed a lot since you started the C13.

[rrockinggramma]

as bleak as it seems you are probably better off now than before. If you lose this one, you will get bombarded by all those creditors that did not file claims plus their added penalties and fees and interest. Perhaps you need to look at your house and see if it is worth saving or if you could refinance with an FHA secured loan or something like that to reduce your stress. Or talk to the attorney about a modification.

Why do you have a meeting next week with the trustee? Are you behind on your payments? Have you already requested a modification?

[bam531]

Our meeting with the trustee is to modify the payments. Yes, we would like to keep the house. We would end up paying more to rent then the house payment. Our payments are being taken directly out of hubby's check, so we are not behind. I just wish she would have left stimulus check alone so we could have done home repairs and bought tires. Afraid to tell her about son and his family living with us tho', she will probaly tell us to kick them out, which I won't do. Oh well, maybe it will get better. Thanks for the input!

[Flamingo]

If you want to keep your house you will make the sacrifice and struggle to keep it - in the long run, it is probably worth it. Chapter 13 is not a walk in the park as those of us who have been through it have found out and as you are just finding out. It is a HUGE lifestyle change that can make you feel trapped and wonder how in the heck you are going to make it to that last payment. Your fears are totally normal and if you do lose your job, the Plan can be modified. Try not to worry about things until they actually occur, if at all. It is just the "Chapter 13 paranoia" setting in that hits us all. What you need to do is try to adjust to this big change in your life; try to cut corners as much as you are able and just stay home, not eat out, etc., etc....the reward comes in the end when the Plan ends and it's all done and you kept your house. While things look bleak now, they don't stay that way...Also you need to remember that the Trustee is just doing her job - she is probably not actually mean and evil; she is just ensuring the creditors get all that is due them; that is what she was hired to do.

Hope all goes well for you at your meeting!

[bam531]

Kinda nice to know we are not the only one's feeling " chapter 13 paranoia". Actually we were doing ok, until recently....tires, home repairs, heat pump. If it wasn't for bad luck we wouldn't have any luck at all!! I have also heard that if we take estimates in for tires,etc that she may allow us to suspend a payment. So we are going to try that. As far as cutting corners...we have. Never go out to eat, don't rent movies, cut cable T.V down to basic, had yard sales till we have nothing left. Oh well, guess life goes on. Noticed on some replies that some of you had early buy out...what is that and how did you do it? Did you pay extra in every month? Should I tell the trustee about son and family moving in with us...or do you think it will make it worse on us? Sorry for all the questions, but we don't know anyone else who has done Ch 13. Thanks for the input!

[MajorMike]

That would be the day I'd let my kids move in with me. They should be out on their own to teach them responsibility, especially when YOU are struggling yourself. How will they learn? I wish my parents believed in tough love, and then maybe I wouldn't be in this situation.
You have enough on your plate as it is. It'll get better and you're not going to die from this or go to prison for life. Just take it one day at a time. Things could be worse. I look at our good health, family and friends to keep us going. Everything else seems minuscule. Like I said...make money online, it's not that hard...and it helps!
Good Luck!

[woeisme]

If you have more people in the house, they will want to look at their finances when modifying the payments, I think it will make it a big mess to tell the trustee about them living there. It's doubtful she would lower the payments because they are there, but might ask that the payments be raised since they should be paying rent and contributing to the household if they have jobs, so it might up your payments. Good luck.

[workinghard]

I just want to say I feel your pain. Its a struggle for us too and basically a cash-flow problem...that is the cash ain't flowing as quickly as the bills coming in. The utility companies have turned into big idiots and wont take payment arrangements. Attorney says they can't help with disconnects after BK so, I have to pay and send my payments in late and just worry alot. Even the tax stimulus most of it went to pay my mortgage and I have the 13-paranoia too!!

[Stilltheone]

OP,

I just wanted to commend you for letting your son and his family stay with you. I think that's wonderful of you to lend a helping hand to your family.

I lived with my parents until I was 24 years old. I was married, had a baby..my parents saw how much we struggled financially and let us live with them rent free for 6 years. During those 6 years, we were able to save some money aside for a house. I never could've done it without my parents' help and thank god everyday that I had parents that were willing to help me.

In the future, I hope I can lend the same type of help and support to my own children. I mean, if I can't help my own children, what kind of parent does that make me?

[maddog2112]

I wouldn`t tell the trustee about your family living with you. It`s none of there business, and it`s not like their going to come inspect your home. I`m all for being honest, but I`m not sure why everyone is always so worried about every little thing. Most of us are in this situation due to our own negligence , but also thru outrageous interest rates and sometimes predatory lending. We`ve all been screwed one way or another by creditors and they have no conscience about it. Our current government and big business are raping the tax payers constantly, and have no mercy on the regular folk. I feel like it`s dog eat dog, just do what you`ve got to do!!!