Can't amend plan?

[sadie0422]

Just recently talked to our attorney about amending our plan, because my income will be dropping about 7 thousand dollars a year come September which will make it darn near impossible to keep up with the plan payments. We will have been in our plan a year come this August and my payments are taken directly out of our paycheck. We heard back from the attorney yesterday via the mail and he said that the plan could not be amended, because of the claims that Sallie Mae made were so large....lot of student loan debt, and we are in a five year plan paying back 10 percent. So, because of the large Salle Mae claims there is nothing to be done. I called his office, but he is on vacation now and his assistant said she would have him call us next week when he returns. She said we could probably convert to a 7, but we don't want to do that as our mortgage payment and arrears on the mortgage are in the plan. Saving our home was the reason for the 13 anyways. The kicker that bugs me is, I am now paying on the student loans through the plan, while at the same time I am taking full time graduate classes, which means normally my loan payments would be in deferrment anyway. I know the student loans are not dischargeable and it is somewhat good to be paying them down right now, it is just killing everything at the moment. I may be getting a pay raise also in September as my union...teacher's union...is in negotiations right now but it would probably be a 3 or 4 percent at best. It could be less. The loss of income is because of some job shifting around within my department and loss of supplemental income from extra curriculars. Any thoughts on what we can do, or are we just stuck?

[Flamingo]

After reading your posting above and your past postings on your situation, it's obvious you cannot afford the house (I know you want to keep it). Also, you can't bank on what may or may not occur as to income for either of you in the near future. You will have to come to a conclusioni whether or not you will be able to afford the house come September with that drop in income and also you cannot bank on what your income may or may not due as to a raise as a Plan cannot be based or modified on income not yet earned or lost. The income loss or income increase will have to occur before a decision can be made as to your situation and I would talk to your attorney about your options in this situation. Lots of folks are on vacation this week due to the holiday so contact him after the July 4th weekend; in the meantime, you and your hubby should have a serious talk about whether or not you are actually able to afford to keep the house.

Best of luck to you...