Possible Chap 13

[timeouts1]

Our attorney is not particulary helpful so I thought I would get some opinions here:

We came out slightly above means test for Chap 7, but DMI ends up at a negative $78, if they allow the $365/month for an apartment lease we signed for our daughter for living at school. (she is trying to find money to continue college) if no, at $287 DMI / mo we obviously are at Chap 13.

Filing for Chap 7 and keep our house. We are upside down on mortgage about $10000. and house payment is $1333 the payment is only set for 2 years then it would move to adjustable. Even if we complete a Chap 7 and discharge I am unsure if we could maintain the house payment for long term.
If we move ahead with a Chap 7 and surrender the house again that would force us to a Chap 13 with more like

We have $81000 unsecured debt, owe $135,000 on the house. We also co-signed student loans (around $80,000) which will start to come due 2010. Since neither of the kids have finished school (21 year old twins) and only minimum wage jobs now they are going to be hardpressed to come up with enough money to make the payments on the loans, which obligates us.
Will UST take into account the student loan payments we will have to start paying?
I am scared to death that UST will make us pay a very large monthly payment in a Chap 13 as I see people on this forum making...any ballpark ideas on what a Chap 13 monthly payment would be on above.
I know this is not legal advice just looking to see some others thoughts. Thanks.

[woeisme]

Not sure that the $365/month would fly, since you would be essentially paying for two different residences, but I'm no lawyer.

Some trustees allow student loan payments as part of plan, some do not. Your problem is that they are not your loans, but rather your children's, but co-signing on them may be an argument to use for why you need to include them in your plan payments if you happen to have a trustee that allows student loans in plan. Some make you put student loans in deferment during CH 13 and nothing gets paid on them, some allow you to include as unsecured creditors so they get the same % as them until plan ends (at which point you still owe them) and some trustees are like mine who allow full payment to student loans to be included in plan. What your district trustee will allow is something only a lawyer who's working with them can tell you.

[timeouts1]

Thanks for your reply. As anyone can tell I am extremely stressed with this whole situation.

[LuciluS]

Google your city, state & and add bankruptcy at the end. There should be a website for the district of your city. My district/state website lists each judge & I'm able to view bankruptcies which have (1) debtor and/or creditor appealing decision of Trustee or (2) the Trustee filed the appeal.

Also, you can enroll at a website called 'Pacer'; however, it cost $.08 a page to browse a single page. If you decide to persue 'Pacer' there are several good posts on 'how to look'. You have a 'Search' button when logged in to this forum and you can type in Pacer to find some of the posts.

Dh (dear husband) has a ParentPlus loan and our Attorney said it was an expense. It's a hit or a strike if Trustee allows expense. You would think the Bankruptcy Code would have a Definite Law, but it doesn't LOL!

Please don't rush your bankruptcy. We obtained our Attorney late last Sept. and haven't paid our Credit Cards since Sept, Oct, Nov or Dec. depending on each credit card activity. I had a balance transfer on a CC in Aug. & was informed by our Attorney to make 3 minimum payments & add $25 or so to each payment. We are current on our house payment & Dh's truck payment as we intend to reaffirm those if allowed.

I found out from this forum, some monies I was receiving would be deemed Income & we would be over the Median Income for our State. Last Income monies received in Feb. 09.

We will be filing in Sept. of this year, using DH's gross income from Mar. - Aug. for determination of state median income. I receive SSD (Social Security Disability) each month. It is not included to determine state median income. However, the total gross must be considered when determining your disposable income.

It is very Stressful at the beginning. I cried for more than a week when we were told it was inevitable we file bankrupty. I've spent days on days reading posts on this forum, using the 'Search' feature & asking questions. Google is my Best Friend

In my opinion, Bankruptcy takes a long time to be completed. Try hard to keep your emotions 'in check'. Will close with what has been stated by Moderators & Gurus of this board. Filing bankruptcy is a Business Decision and leave your Emotions out of it. Hard to do until you have a 'Grasp' of Your bankruptcy as a whole.

Luci