whats the logic?

[floridian]

my lawyer re-evaluated my options....my situation changed, when i decided to keep my house.. the rental would have given me enough expenses to stay out of a 13...

currently, im under the means, but in trouble with disposable income...

my lawyer just emailed me and said we should proceed with filing a 7, but felt the trustee would convert it to a 13, due to my DMI... in which case, i could just not fund it and get it dismissed...

i told him before we started, that i would not accept a 13...

so why bother with filing at all, if this is going to be the probable outcome?... can anyone think of any advantage to doing this?.. if i dont fund it, he wont get anymore money... is this just a way to say he did his job, but sorry about your luck? is there something im missing here?

if the case was dismissed, would my chances of the CC companies suing me be less? maybe they would have given up when i filed bk or something?

in a 13, he said i would be looking at about 300 per month for 3 years...that may sound like a walk in the park to many people, but to me it would be a death sentence...
i am currently being treated for severe depression, which is what led me to the spending abuse in the first place..

i live a pretty clean lifestyle and the only way i can keep my head above water, is to be able to get out in the fresh air and sunshine.. if i was in a 13, i would have to sit at the house and watch the trees grow, which would finish me off...

[catleg]

Have you addressed the issue of social security income being excluded from the means test calculation with him? What does he say?

You've already paid him, so you have nothing to lose by proceeding.

So let's say the trustee objects. What is your lawyer going to do? He risks some kind of ethics problem if he does not adequately represent you. (likewise he risks sanctions from the court if he helps you get away with anything).

I would suggest carefully reviewing whatever papers he plans to file. In particular make sure the budget makes you look as poor as possible, in every nit picking detail (vet bills, pet food, prescription copays, newspaper bills, etc).

What if the trustee doesn't object? All this worrying for nothing.

[floridian]

he said to qualify for a seven, i must satisfy two things...
under the means, which i qualify for before the SS is added...
no disposable income, which the SS counts and i dont qualify...

so, if i file and its dismissed, i still get the 10 year hit on my credit, dont i?

[laurannm]

Unfortunately yes, you still take the credit hit.

I know a Ch 13 is not the ideal outcome, but is that a better option than no BK at all?

[catleg]

Right, so the disposable income part is the Schedule I/J part, where you put together your 'going forward' budget for life after bankruptcy. You need to get every reasonable expense in there. Nickel and dime them. This is where you need a "good" bankruptcy lawyer. This is the part not governed by those IRS limits but real life expenditures. Every thing you routinely spend that is not a luxury should be on there. You own a house. There is an absolute ton of stuff you can put on there. Bug man. Air conditioner maintenance contract. Gutter cleaning. Garbage service. Lawn cutting. Carpet cleaning (you have cats). Laundry expense. Medicine, eye glasses, dental, non prescription pain relievers, antacids, aspirin, vitamin C, CoQ10, whatever you take, especially on medical advice. Home insurance, car insurance, any other kind of insurance, cigarettes, clothing, pool maintenance if you have a pool (you have no choice but to maintain it if you have it). Tree trimming. Video Rentals/netflix, newspapers, charitable donations.

[floridian]

do you need reciepts for all this stuff?

[catleg]

receipts: as always it depends on whether they object. if you just bury them in detail what can they do, object to everything? you said taking 300/month out of your life would kill you. you're not lying here.

more stuff: any kind of dues ( aarp, hoa, clubs)
any kind of telecom (landline, cell, tv, alarm system, internet access)
hearing aids, depends (not joking :-) i'd like to see the trustee object to that and you just pull down your waistband and show him)
tolls, parking, haircuts, the list just goes on and on
cleaning lady

[floridian]

"a cleaning lady", i never thought of that one..

[jennordhavn]

do you need reciepts for all this stuff?

I did not have to provide receipts for anything, including private school tuition for my daughter, student loan payments, daycare expenses, misc. (incl. toiletries, haircuts, pull ups, gifts, etc.). I think the key is to include everything, but also make sure the numbers are reasonable!

[catleg]

I think when this is over the lawyer is going to owe you for teaching him how to present a proper bankruptcy case.