What do you think????

[suzyqpug]

Ok, I know i have asked alot of questions, BUT i am really scared I am going to lose my house! I have kids that are school age, one in high school and other in elementary, i cannot lose my house. Here it is:

Hubby makes a base of 116,000.00 and then bonus of anywherebetween 40,000.00-50,000.00 per year - its not guarantee and could stop at any point.

1 Mortgage 2328.00 p/month - Current - balance owed 380,000.00
Equity - 830.00 p/month - current - balance owed 92,000.00
Truck Lease - 545.99 p/month - current
Monthly Taxes - 442.00 p/month - current
Homeonwers Ins - 50.00 p/month - current
Boat payment - 290.72 p/month - current - but attorney said stop paying on it. We are trying to sell it. The loan is what the boat is worth. no equity.
and then the rest of my utilities.
Do you think the payment are over the top an they will take my house, Oh my house by the way is probably worth in todays times 395.000.00.

I know I am asking you all to play trustee but what do you think? Can the attorney get rid of the equity loan? Wishful thinking. Again, i took that equity to pay cc's debit. Stupid . Plus my 1st - is interest only payment nothing goes to the principal, thats like that for another 3 more years and then it will only go up 1 percent.

[Tromploi]

Hi Suzyqpug, I have been asking a lot of questions too!

What I was told as far as stripping off the 2nd is that your first needs to exceed the value of your home, which in your case it sounds like it does not. So it may have to stay.

Our situation is similar to yours, we owe $354 on the 1st with an I/O payment of $2150, 2nd is $210K with a paymemt of $1600, 2 cars totaling $700 and a tractor payment of about $350. Hard to say what we make since we haven't done 2007 taxes yet but it's going to be in the $130K ballpark. I am current on everything, and want to keep the house too.

Why would you think you would lose the house? Isn't it just a matter of you being in the 100% payback category? Crap, more for me to worry about now.

[rrockinggramma]

are you behind in the house payments, is that why you are filing? How much cc debt or other debt, taxes, liens, student loans are you dealing with.

Generally assets are retained in a chapter 13.

[suzyqpug]

I am current with the house, equity, truck loan, taxes. My attorney when I called told me to stop paying the CC's. I have about 185,000.00 in cc debt and thats it. I have no loans, liens etc. I am current on everything else but the CC's. My attorney alo told me to stop paying the boat. ts worth about 20,000 and the loan payoff is 20,000.00 so no equity in that. See i am worried cause I figured that my 1st mortgage is 380,000.00 and the second is 92,000.00, now combining them is more then my house is worth ad i thought that that would take the house being the payments are high.
I paid between both about 3200.00. per month. The equity was to pay off charge cards.

[suzyqpug]

sorry i forgot to answer the other question fully.
Credit card debit is 185,000.00 and then i have a truck lease 546.00, boat paymet 291.00 and then mortgage, equity, property taxes etc.
The only debt that would be included in the BK would be credit cards, hopefully boat loan and i would love if they put in the equity...

[woeisme]

your home equity loan is secured by your house, so you can't get that debt discharged unless you give up the house.

You may not be able to keep the truck lease, might have to get a more affordable vehicle, that's trustee dependent. When you get a good attorney, he or she will know the local rules and practices and can give you a much better idea on these things.

[rrockinggramma]

the truck lease is something to ask your attorney about. If the lease is up while you are in your chapter 13, then it is very hard to get another vehicle. So you might want to surrender and buy another vehicle before filing (ask attorney first)

How much of the cc debt you pay back will depend on claims filed and your monthly payment to the trustee, etc. Your house payment will not raise an eyebrow because you have the income to support it.

[suzyqpug]

My lease is up in Spet. 2009. I am already over about 15,000 miles. I am in such hot water all around. Its just not fair to my kids that I got us into this mess. Its all my fault. My husband never really charged anything. It was always me. Now look at us now. My hubby is a hard worker and makes a really good pay and we should be living like kings but instead i did this. Now my kids and my hubby are going to suffer from what i did. Shame on me!!!!!!!!!!!!!!

[fltoo]

You are going through a normal process when facing the thought of BK.

Awareness, shock, denial, blaming yourself, all normal. The last phase is reality.

Firstly, you need to sit down with your hub and children, face the music and come up with a plan. There is a way out of this for you, but as someone else stated, you need to change your lifestyle and not worry about what people think.

Sorry if I sound judgmental here, but yes, your hub makes good money, you borrowed home equity money to pay cc's and here you are with 185 thou of cc debt again.

I know Toms River very well and know how you can get caught keeping up with the Jones in a town like that.

Sit down and look at your cc charges. See where you overspent and plan to stop the unnecessary purchases immediately. You say you don't work at this point. Hit the Shop Rite and start cooking for the family.

Talk to more attorneys to make sure you can't file a chap 7 since you are not over the means by that much. My gf saw 4 attorneys before she found one to actually do the means test for her before settling on a chap 13. She completed a 7 successfully.

There is no doubt that you will survive this and work through the BK. The doubt arises if you decide not to change your lifestyle and find yourself in this predicament again after this passes.

[rrockinggramma]

the key is that you are going trying to fix it. But remember, you were not alone in creating the mess. You sound like me, a "pleaser" and wanting to keep everyone happy by giving them everything they want. Well life doesn't work that way and now to take the attitude that only you should suffer during the course of this chapter 13 is wrong. Everyone needs to adjust. Kids need to understand that the money pit has reached bottom. Your famous line now will be "no". They will adjust. I bet there are tons of places you can cut corners if you just stop blaming yourself and start looking for ways to change your lifestyle so you won't end up in this mess again. We have all been where you are at right now. How you deal with it and the changes you make now will determine if your chapter 13 will succeed. You can be happy with less. Trust me

[liz417]

Hi there Suzy,

Please don't beat yourself up over this, all of us have been there, done that. You've made the decision to file for BK, now move forward. You are fixing the problem, that's what counts!

Hang in there!

[PoorGrammyinBK7]

You only pay $600/year for homeowners insurance on a $395,000 house?

[arkienurse]

You only pay $600/year for homeowners insurance on a $395,000 house?

Yeah!, mine is $2,000/ yr on a $50,000 house.
Course, that is outbuilding coverage, and supposedly full replacement value of the home, not just pay off the mortgage.

[liz417]

Yeah!, mine is $2,000/ yr on a $50,000 house.
Course, that is outbuilding coverage, and supposedly full replacement value of the home, not just pay off the mortgage.

I pay $630/year on a $279,000 house!

P.S. This included a 20% multi policy discount with Allstate.

[Tromploi]

Geez, we pay $6000/year on a 600K house, gotta love 1% CA.