Delayed confirmation

[ilbcertain]

I have been in a chapter 13 for about 5 months now and while we are trying our best to keep current, we are about a month behind. My payments are $3170.00 a month that come out of my once monthly check. I am 100% commision sales and i am not making enough to cover the whole amount, witch iin turn makes me short about $500.00 per month. My confirmation hearing keeps getting postponed because i am not current. How long will the keep delaying it?

[kornellred]

If you cannot afford the Chapter 13 payment plan that was proposed by your attorney, there is no point in trying to get the plan confirmed. You need to come up with a payment plan that you can live with. I am not sure how pre-confirmation payments which are deficient affect the status of your filing. If you find yourself short by $500 per month at the outset, there is something very wrong.

[Flamingo]

Contact your attorney and discuss in full with him/her. As kornellred states, you should not have a plan in place that you cannot afford. No trustee wants anyone in a plan that will or could fail. It's obvious you have issues due to your commission and the fluctuation of your income. Your plan may need to be modified.

[ilbcertain]

Im sorry but i did not mention that my wife works as well. if we make up the difference for the chapter 13 using my wifes income then i wouldnt be able to pay all the gas, water and garbage etc. let alone have enough left over to eat. will the trustee lower my payments? or am i going to have to think about letting the house go? as far as the house goes, we owe more than its worth but i do not want to move if possible

[momofthree]

You haven't provided enough info. What are you hoping to accomplish by filing ch.13? Are you lien-stripping? Are you keeping any non-exempt assets? Do you have past due taxes, mortgage arrears, or a minimum that has to be paid in due to the ch.7 liquidation test? Are any other secured debts included in your payment? Were you pushed into a 13 due to a high income?

[AngelinaCat]

Did you both file? Or are you the only filer?

[ilbcertain]

I was in a commision job making great money and then the economy hit and my income decreased by 50%. i contacted my bank and they told me to apply for a modification and that i fit into the qualifications and it should not be a problem. I had a choice to make the mortgage payment or pay for everything else ( cars, credit cards etc. ) I decided to pay for everything else other than the mortgage and once my modification was approved, my arrears would be put to the back of the loan. We had a nightmare trying to get the modification and the bank was going to foreclose on the house before we heard back on the mod ( 10 months ) we decided to do a chapter 13 . we had to make up all the arrears plus the mortgage payment I hoped my work would pick up and when we crunched numbers we would be able to make the chapter 13 payments but we are coming up short.

[momofthree]

Sounds like you don't have any wiggle room in your payment. Based on your post, it sounds like your TT payment is basically just arrears, mortgage payment, attny fees, and TT fees, which means you have 2 options:

1. Make it work using your wifes income and any other means you have available (2nd job, etc).

2. Give up the house.

[HHM]

Sounds like you are in an unrealistic situation. Time to face reality that in your current circumstances (current income), the home is un-affordable. The decrease in income is actually doing you a favor long term. Down size, and rebuild your financial life, don't be a slave to your house.

[ilbcertain]

if i opt to surrender the house, how long until i have to vacate? also, is it unrealistic to think that they would make the payment work with me rather than have the house vacant and them losing money on the house?

[HHM]

if i opt to surrender the house, how long until i have to vacate? also, is it unrealistic to think that they would make the payment work with me rather than have the house vacant and them losing money on the house?

Let me put it this way, we have had record foreclosures since 2009 and 2011 is supposed to beat both 2009 and 2010...we are not having record foreclosure because banks are working with people. Sorry.

[ilbcertain]

My question is when i meet with my att and surrender the house. Will they immediately stop taking the money from my checks so i can save some to move and how long would i have before i have to move out? another thing is am i going to have problems renting a place because of my credit? Thanks for your help!!!

[HHM]

1. You WILL NOT have problems renting. Landlords, in general, only look for ability to pay (steady employment) and default on utility bills. (the, problem renting, excuse only arises based on an assumption, once you get out and actually look, you will find it won't be too much trouble). That is not to say you won't get some kick back if you go for a real high end place, but so long as your income can support the rent and you have the deposit, YOU WILL be able to rent. Do you really think that all the millions of people that had their homes foreclosed are homeless?

2. The bank still needs to go through the foreclosure process, so you will have MANY months in your home before you would have to move out and all that time, you can save money.

[ilbcertain]

Thanks for you response. will the trustee not take my mortgage and arrears from my check once i talk to my att? i will need that money ASAP to save for moving.