top Ad Widget

Collapse

Announcement

Collapse
No announcement yet.

Mortgage and Means test

Collapse
X
Collapse
 
  • Page of 1
  • Filter
  • Time
  • Show
Clear All
new posts
Previous template Next
    #1

    Mortgage and Means test

    If I am planning on surrending my home in a Chapter 7 (I am not behind on my mortgage payments yet), do I still use the mortgage & second mortgage to qualify for the means test? IF for some reason, I was unable to file 7, I would not be surrendering the home, so it would apply. As far as I can tell, the means test is to test the feasibility of a chapter 13 plan, which would have to include my mortgage. Am I correct in this reasoning? Thanks for any help.

    PS I have been using this means test online calculator, and I have found it very user friendly http://www.legalconsumer.com/means-t...ator/index.php
    Last edited by cleo1357; 03-16-2008, 04:24 PM.
    04/03/2008- Filed for BK CH7-Middle District of FL
    04/04/2008- Found out I have the more "laid back" trustee- the other one is a real bear, I hear. Yay!
    05/06/2008- 341 meeting held
    Tags: None
    #2
    Update: I found this case online in which the court determined that because the payments were contractually due at the time of the petition filing, they can be included in the means test REGARDLESS of whether they would have been actually paid or not. http://www.flsb.uscourts.gov/opinion...TI06-13003.pdf
    04/03/2008- Filed for BK CH7-Middle District of FL
    04/04/2008- Found out I have the more "laid back" trustee- the other one is a real bear, I hear. Yay!
    05/06/2008- 341 meeting held

    Comment

      #3
      cleo, there are case decisions on both sides of this argument across the country. The key is whether *your* bk district has a case decision that allows you to count your mortgage costs into your Means Test and Schedules.

      Have you met with any local bk lawyers yet to ask this question? If you are planning to file without a lawyer, adding your mortgages in if your court doesn't agree that's ok could be a potential disaster if you do not confirm beforehand what will be accepted in your local bankruptcy court.

      It's worth meeting with 3-4 bankruptcy lawyers in your area (most give free or low-cost consultations) to find out how your court is leaning on this issue.
      I am not a lawyer and this is not legal advice nor a statement of the law - only a lawyer can provide those.

      06/01/06 - Filed Ch 13
      06/28/06 - 341 Meeting
      07/18/06 - Confirmation Hearing - not confirmed, 3 objections
      10/05/06 - Hearing to resolve 2 trustee objections
      01/24/07 - Judge dismisses mortgage company objection
      09/27/07 - Confirmed at last!
      06/10/11 - Trustee confirms all payments made
      08/10/11 - DISCHARGED !
      10/02/11 - CASE CLOSED
      Countdown: 60 months paid, 0 months to go

      Comment

        #4
        Just one of many

        Originally posted by cleo1357 View Post
        Update: I found this case online in which the court determined that because the payments were contractually due at the time of the petition filing, they can be included in the means test REGARDLESS of whether they would have been actually paid or not. http://www.flsb.uscourts.gov/opinion...TI06-13003.pdf
        That's just one of many. See my posting here for a December 2007 case that takes the opposite view:

        Need to file, but confused... - Bankruptcy Forum Chapter 7 13 341 Meeting Credit Collections
        http://www.bkforum.com/showthread.php?p=145403#post145403
        Everything related to Chapter 7


        This judge was in Missouri. Much will depend on your district.

        Comment

          #5
          Last edited by cleo1357; 03-17-2008, 07:51 AM.
          04/03/2008- Filed for BK CH7-Middle District of FL
          04/04/2008- Found out I have the more "laid back" trustee- the other one is a real bear, I hear. Yay!
          05/06/2008- 341 meeting held

          Comment

          Previous template Next

          bottom Ad Widget

          Collapse
          Working...
          X