Couple questions on Ch7 ProSe

[RickZ81]

I'm looking to file a Ch7 ProSe for my wife and I. I have read countless amounts of information, but I still have a couple of questions. This is a pretty standard no-asset case with mostly unsecured debt, one secured auto loan (more below), and only source of income is SSDI. This filing is in Delaware if that matters any. I will list my questions below, and I appreciate anyone that takes the time to answer...

1) When filing ProSe what is the proper way to file? (ie- via postal mail, in person at court)
I ask this because Delaware only has one federal courthouse and it's two hours away. I'd rather not go there, other then the 341 meeting, if possible. If I must file in person at the court house, I certainly can and will do that.

2) Only income in the house is my SSDI. My wife stays at home to help care for our 4yo, 8yo, and me (disabled). I receive $1658/mo SSDI and a family benefit comes in my daughters name for $826/mo. I intend on asking for a waiver of the filing fee since I'm well below the 150% Poverty thingy. I read in NOLO's How to File for Chapter 7 Bankruptcy "Your current monthly income includes income from all sources, except: ...payments you receive under the Social Security Act...including SSDI"
Does this mean I list my monthly income as $0? Won't that look really strange? If I do report the income, do I report the share that comes in my daughter's name as well?
EDIT: Okay, so I found the answer to this one. It doesn't get listed in the means test, but both get listed in Schedules I & J

3) This one is a little more complicated, and I'm still researching, but my auto loan is on a 2007 minivan. It has 150k miles. The total owed on the loan is $6,000+ but the vehicle is only worth about a grand. I actually spoke with someone at the 722 Redemption Loan place (when I thought the van was worth a few thousand) and he informed me that its only worth $900. He said none of his underwriters would write on a vehicle older than 10 years. Once I realized it was only $900, I said hell, I won't need a loan anyway. I have a family member that would give me that money. I'm hoping to redeem the vehicle for current value. How hard is it, or does anyone have experience with doing a redemption prose? Any info you can provide would be helpful. I did find some generic motions and other forms on the redemption loan places website, intended to be used by attorneys utilizing their service, and I'm thinking some of those will help me out. I'm still looking to see if anyone has done this themselves, or has experience with it.

Thanks again for your help and for reading my post. Take care.

[justbroke]

These are generic responses and may lean towards Florida since I live and filed in Florida.

1) When filing ProSe what is the proper way to file? (ie- via postal mail, in person at court)
I ask this because Delaware only has one federal courthouse and it's two hours away. I'd rather not go there, other then the 341 meeting, if possible. If I must file in person at the court house, I certainly can and will do that.

All of those are proper ways to file. The best way, however, is to file in person. In most bankruptcy court Clerk's Offices, where you file, the intake clerk will take a quick glance at your petition (all 70+ pages of it) to make sure it's in the correct order and/or to make sure you have completed any local forms. If it is too far to travel you can certainly send it via FedEx or similar courier service. I did both of my filings (Chapter 13 and Chapter 7 conversions) by visiting the court (which is 110 miles from me). However, all other service of papers was done via FedEx in most cases. Most bankruptcy court clerks issue a case number on the spot so you would have that in hand when you leave.

Upon receipt of your petition, it make take two or more days before the case shows up on PACER. Whether you filed by mail (or in person, you may still receive a "deficiency" notice for things that are not correct with the petition and schedules. You should deal with those immediately. Again, I would use a courier service such as FedEx or USPS Priority Next Day or similar service which would provide tracking and a receipt.

You should already have a PACER account. If you don't know what a PACER account is, then ask. It is mandatory for a Pro Se filer. You can also register to receive notices electronically (once you have a case number). This saves you "somewhat" on PACER charges. More on that later!

2) Only income in the house is my SSDI. My wife stays at home to help care for our 4yo, 8yo, and me (disabled). I receive $1658/mo SSDI and a family benefit comes in my daughters name for $826/mo. I intend on asking for a waiver of the filing fee since I'm well below the 150% Poverty thingy. I read in NOLO's How to File for Chapter 7 Bankruptcy "Your current monthly income includes income from all sources, except: ...payments you receive under the Social Security Act...including SSDI" Does this mean I list my monthly income as $0? Won't that look really strange? If I do report the income, do I report the share that comes in my daughter's name as well?
EDIT: Okay, so I found the answer to this one. It doesn't get listed in the means test, but both get listed in Schedules I & J

Yes. SSDI is not considered part of "current monthly income" (CMI) because anything distributed as a Social Security benefit is not CMI. Many people misunderstand CMI and believe that it's anything that is taxable, but it is all income regardless of source with only 2 exceptions (SS income and some obscure war-related and terrorism-related benefits).

3) This one is a little more complicated, and I'm still researching, but my auto loan is on a 2007 minivan. It has 150k miles. The total owed on the loan is $6,000+ but the vehicle is only worth about a grand. I actually spoke with someone at the 722 Redemption Loan place (when I thought the van was worth a few thousand) and he informed me that its only worth $900. He said none of his underwriters would write on a vehicle older than 10 years. Once I realized it was only $900, I said hell, I won't need a loan anyway. I have a family member that would give me that money. I'm hoping to redeem the vehicle for current value. How hard is it, or does anyone have experience with doing a redemption prose? Any info you can provide would be helpful. I did find some generic motions and other forms on the redemption loan places website, intended to be used by attorneys utilizing their service, and I'm thinking some of those will help me out. I'm still looking to see if anyone has done this themselves, or has experience with it.

I actually used the 722 Redemption loan for this process. If you search the forum and include "justbroke" and "redemption" you may read some of my posts on the matter.

If you are Pro Se, then you need to know that a redemption under 11 USC 722 should be done as a so-called "first day motion" or shortly after filing. (Be aware that some jurisdictions require that a claim be filed from the creditor before they'll hear a motion to redeem. Also, some jurisdictions allow a redemption motion to be filed "on notice" (negative noticing) allowing it to be granted if the creditor does not respond within a certain number of days after service of the motion.)

Your Statement of Intentions (SoI) should list redeem. In your motion you will need to specify from where you are obtaining the money to redeem. That source can be (exempt) savings or a lender or other third party "loaning" you the money. You may be able to take those sample motions from 722 Redemption Funding (US Bank) and tailor them. You may also try to find some examples from your district.

[RickZ81]

Thanks for your reply justbroke, and I actually have read some of your posts I believe in regards to redemption, as I read quite a few of them on here. I've been researching for a couple months now trying to decide whether or not I can handle doing this by myself. I think I'm going to take a shot at it. I do have a lawyer who said they would review my filing before I file it, and he actually gave me his number and told me to call him with any other questions. I just don't want to bug him with too much in fear he'll shut me out before reviewing my filing. I'm working on finishing reading the NOLO CH7 book that I bought from them, and I think I'm going to start filling out the forms soon. I do plan on filing the Motion to Redeem with the original filing as well. Thanks again for the reply. I'm sure I'll be posting again in the coming future.

[kberly69]

Just an FYI, I mailed mine (certified). My court is over 200 miles away and that was just a bit too much for me. Certified mail gets you delivery confirmation and takes the same amount of time as regular mail. Registered takes longer and is more expensive, but offers "an unbroken chain of custody" if you're worried about it getting lost. I mailed mine on a Friday and it arrived the following Monday, which became my filing date. FedEx is great too and has a lot of drop off locations.