Chapter 13 Payment Plan

[pete42]

I guess what it comes down to is this. if you have a decent income and are able to pay back the total amount of debt, then take your total debt, plus 10% trustee fee, plus what ever lawyer fees are left, total it all together and divide by 60months. in my case thats $1039month for 60months. Well that puts me back to being basically broke again every month.

[forgotten]

I guess what it comes down to is this. if you have a decent income and are able to pay back the total amount of debt, then take your total debt, plus 10% trustee fee, plus what ever lawyer fees are left, total it all together and divide by 60months. in my case thats $1039month for 60months. Well that puts me back to being basically broke again every month.

If your disposible income is at least $1039/month, then that would be correct. Have you run the numbers to see what your disposible income is?
We are a family of 2 (no children), make over $100k/year and owed $320k in unsecured debt. My payment is $950/mo.

[flyinbroke]

That's about it. After legit expenses, anything you have left goes to the trustee...the lawyer and trustee get their share, secured gets 100 percent and the rest is divvied up equally.

If 1039 is your disposable income after subtracting all expenses, that is what you are paying. How much you have left=how much you are paying.

[Lissy]

Have you thought about cutting back in certain areas of your life? I'm sure there are things that you can change and stop spending money on. I'm hoping to retain the high but reasonable payment that my atty has proposed, but prepared to start cutting in certain areas should the trustee object and increase my payment amount. It sucks, no doubt, but for me, it's the only way out.

[olivies]

Have you thought about cutting back in certain areas of your life? I'm sure there are things that you can change and stop spending money on.

I think most people do this prior to filing, when they're struggling to pay their bills.



I hear you OP. We're paying more in our bankruptcy than we were before our bankruptcy. My suggestion is to get good and familiar with your budget, categorize every dollar spent, so you can detail your plan really well and make your payment do-able.

[indebt00]

We were just the opposite as far as what we paid out before and after....

we went from being 1000's short every month to being able to live with cash on a budget and we are doing ok.

yes its hard but life is so much better with that monkey off our back...you know..."how are we going to keep this going"
now we pay our bills, bk pymnt, and if we are lucky we have a bit left to save or go out to eat with.

good luck op....I hope it works out for you

[brokenymom]

with 320k in unsecured and payment of $950 month dont complain. im same boat as you with 2kids and 80k unsecured paying $1330 month.

[optimistic1]

dont forget about non-exempt assets you want to keep, this will increase your payment. and when you say total of all your debt, what type of debts are u talking about?

[momofthree]

I guess what it comes down to is this. if you have a decent income and are able to pay back the total amount of debt, then take your total debt, plus 10% trustee fee, plus what ever lawyer fees are left, total it all together and divide by 60months. in my case thats $1039month for 60months. Well that puts me back to being basically broke again every month.

The IRS standards are pretty lenient as far as food/clothing, and transportation expenses. If you learn to shop frugally, you can end up with a very comfortable amount of extra money each month. It really is about adjusting to a cash-only lifestyle. Suddenly, what you considered "necessities" when you had credit are no longer truly necessary when you have to pay cash. It's hard at first, but once you get used to it, it's a very freeing feeling!

[Lissy]

I think most people do this prior to filing, when they're struggling to pay their bills.

Maybe, maybe not. Chapter 13 teaches you to live on a budget. From what I hear, that is harder for some people to do than others. I cut back when I started having difficulty with my bills, but I may have to cut back even further depending on what my final monthly payment amount ends up being. I'm already thinking of ways I can do that; they are there.

My payment, if it stays at the proposed amount (341 still yet to be scheduled), will be $100/month more than I was paying when I was struggling. It's not going to be easy to come up with that, but I have to. And if the trustee objects to something and raises that payment, it will be that much harder. That's why I'm already planning for it, just in case it happens.

[Scott50]

I guess what it comes down to is this. if you have a decent income and are able to pay back the total amount of debt, then take your total debt, plus 10% trustee fee, plus what ever lawyer fees are left, total it all together and divide by 60months. in my case thats $1039month for 60months. Well that puts me back to being basically broke again every month.

consider that your debt will be paid off in five years without interest accumulating.. how long would it have taken to repay without a CH13?

[Universal]

Payback is a b......

I make 43,000.00 a year, husband lost job first of this year. Payout is $1,440.00 a month; and that sure don't leave much to live on does it.

[Lissy]

I make 43,000.00 a year, husband lost job first of this year. Payout is $1,440.00 a month; and that sure don't leave much to live on does it.

I don't know what state you're in, but you should probably look into converting to a Chapter 7. At the very least, report the loss of income and try to modify your plan so that your payments are lower.

[Universal]

Not eligible for 7

due to my income being over the median income in Indiana as hubby also gets $380. a month in retirement benefits.

[Universal]

not eligible for 7

also payout is high so that we don't have to give over tax returns or future unemployment if the appeal comes thru.