Still in active Ch. 13 with a LOT of issues..

[kmccoleman]

It's been quite a while since I've posted but a lot has changed in 3 years. I'm still active and paying my Chapter 13. The world exploded and I had a job loss. All this while I fell incredibly ill, lost a job I had just started thanks to the lock down and going through a divorce with an abusive ex husband. Needless to say life have been lifing. Very recently my divorce became final and soon after that my car was totaled in an accident. Because of COVID and my job loss I was able to obtain a lot of assistance because my ex stopped paying for anything once he was forced to leave the marital home by way of protective order. I am still currently dealing with the aftermath of having no other income for a year other than the boosted unemployment.

Thankfully I got a new job but I was so in the hole that I needed every dime to rebuild. My bankruptcy was modified to decrease my payments but added more time onto the plan of course. Fast forward to my current dilemma. My attorney is absolutely horrible in the sense that she doesn't respond at all in a timely fashion. I've told her about the DRASTIC decrease in my take home because of my ex's income being gone and all she offered was a modification of the current plan even though the income they based the 2019 plan is no longer in place. In addition, I'm still paying joint tax debt in my bankruptcy even after the divorce since I filed well before I filed for divorce. Now because I had no second income or car, I went to get a car and loan under the guise that the paperwork to my Trustee "would be taken care of" by the dealership. Needless to say once my name was signed on the dotted line they played deaf, dumb and stupid and said they didn't do that. So in essence I just incurred 20K in debt without approval from my Trustee. I am freaking out that all my hard work over the past 3 years is now going to go down the drain. I have no one else to blame but I was desperate and had no other options and I needed a vehicle to get to work. I've emailed my attorney with no response and I'm currently trying to modify my mortgage to make it more affordable/put some delinquent payments on the back end since I was awarded my house in the divorce. I am able to hold onto the house for 3 years and have the option to either refinance to remove my ex entirely or sell. Currently with the market I wouldn't have anywhere to go if I sell because of the bankruptcy, the probability of me getting a home loan in my name only are slim to none.

So I ask..am I screwed with this car? I don't want to surrender it because I need it. Should I dismiss and refile with my income alone or just hope for a resolution eventually from my attorney who may answer at some point. Also, I recently found out my ex incurred a lot of debt in my name and I have to get that straightened as well. It's been a crapshow and this just got added to the pile. Please HELP!!

[flashoflight]

Sorry to hear about everything you're going through. There are a lot of moving pieces. But to put it all together, chapter 13 is a giant complex math problem where your income needs to pay household expenses, secured debt payments, and resolve secured arrears within the 5 years. If you have non-exempt assets, you have to pay the credit cards (thru the trustee) the amount they would have received if you did a 7 even if your income is too low to pay the minimum plan payment. So maybe that's why your attorney cannot drop your payment even with less income. The mortgage on your primary residence is part of your plan payment even if you pay it directly to the lender so if you don't cure the arrears or get a loan mod, you fail the 13. And now there is the issue of the debt in your name from your ex. So given all that, you need to talk to your attorney about how to solve the giant math problem or do something else like dismiss/refile13, convert 13 to 7, or dismiss/file 7. If you need to dismiss, I might use this opportunity to fire your attorney after the dismissal and hire a better attorney for the new case. Finally, your post divorce income may be too low to save the house but verify with your current attorney or new attorney.

[kmccoleman]

Sorry to hear about everything you're going through. There are a lot of moving pieces. But to put it all together, chapter 13 is a giant complex math problem where your income needs to pay household expenses, secured debt payments, and resolve secured arrears within the 5 years. If you have non-exempt assets, you have to pay the credit cards (thru the trustee) the amount they would have received if you did a 7 even if your income is too low to pay the minimum plan payment. So maybe that's why your attorney cannot drop your payment even with less income. The mortgage on your primary residence is part of your plan payment even if you pay it directly to the lender so if you don't cure the arrears or get a loan mod, you fail the 13. And now there is the issue of the debt in your name from your ex. So given all that, you need to talk to your attorney about how to solve the giant math problem or do something else like dismiss/refile13, convert 13 to 7, or dismiss/file 7. If you need to dismiss, I might use this opportunity to fire your attorney after the dismissal and hire a better attorney for the new case. Finally, your post divorce income may be too low to save the house but verify with your current attorney or new attorney.

I spoke to my attorney and she suggested and I quote to "leave it alone." I paid my note and my mortgage outside of my plan and my ex and I didn't file together, I filed to save our house because he was a drunk who thought whiskey and gin were more priority then our mortgage. That and other women. I think because I'm so far in at this point she doesn't want to raise any unnecessary red flags and since I've had all the things happen to me recently, why add another issue. I'm currently trying to get a loan modification based on my income only and have requested assistance from my state to get caught up on the arrears I have currently. As hard as I worked to keep this house afloat while I was married, through a job loss during COVID and during a year long separation where my ex didn't pay a dime to me or towards any of the bills in the household (or the bills he left behind) I'm not giving up without a fight.

[Carmella]

kmccoleman I am so sorry to hear what you have had to deal with, but I am glad you decided to post again. I have thought about you on and off during the time you were not posting.

I hope the attorney can help you get through this even though she's not the most dynamic attorney out there. Did she say anything about the car. My heart broke not only due to the divorce issues, but when you said the dealership would take care of the details with the trustee. Before I finished reading the sentence I was like those b$t*rds messing with our kmcoleman!

I also went through an accident that totaled my car and nearly killed myself and my two passengers. I know the process to get a car and, at least here, the trustee is very understanding if a car is totaled/needs replaced because they want you to have transportation to work (i.e. pay them)!

Obviously I have no idea what your BK states or how they deal with taking on new debt for a car for me it was a process of getting a loan (but not purchasing a car) and then having the trustee approve and then car shopping within that price range.

At this point are you current on your mortgage and don't have any late payments. It sounds like you might have about 2 yrs left in BK?

At this point it sounds like your attorney just wants you to keep making payments as required and not do anything about taking on the car loan debt?

[kmccoleman]

kmccoleman I am so sorry to hear what you have had to deal with, but I am glad you decided to post again. I have thought about you on and off during the time you were not posting.

I hope the attorney can help you get through this even though she's not the most dynamic attorney out there. Did she say anything about the car. My heart broke not only due to the divorce issues, but when you said the dealership would take care of the details with the trustee. Before I finished reading the sentence I was like those b$t*rds messing with our kmcoleman!

I also went through an accident that totaled my car and nearly killed myself and my two passengers. I know the process to get a car and, at least here, the trustee is very understanding if a car is totaled/needs replaced because they want you to have transportation to work (i.e. pay them)!

Obviously I have no idea what your BK states or how they deal with taking on new debt for a car for me it was a process of getting a loan (but not purchasing a car) and then having the trustee approve and then car shopping within that price range.

At this point are you current on your mortgage and don't have any late payments. It sounds like you might have about 2 yrs left in BK?

At this point it sounds like your attorney just wants you to keep making payments as required and not do anything about taking on the car loan debt?

Oh sweet Carmella how I have missed you Yes it's been quite the ordeal and adulting has been kicking my entire butt. It's been beyond a struggle to keep my sanity and this bankruptcy in tact all while dealing with the rapid and violent decline of my dumpster fire of a marriage. I'm happy to say that I'm divorced but he left me holding the bag on a lot. LIKE A LOT! I'm paying our joint tax debt in MY bankruptcy which I absolutely am sick about but he hasn't filed taxes since 2018 so his problems are just beginning. Tact on he has a govvie clearance and is probation for violating our protection order and we go back to Court for him violating via social media next month, I doubt he'll have a penny to his name once the attorneys and the alphabet boys get their share (the I.R.S..get it?? LOL)

She said and I quote "just leave it alone." I think she just wants me to stay under the radar and only ring alarms if they are noticed, especially this far into my bankruptcy. I had to modify it to decrease the payments back in 2021 when I was only living off unemployment and after my ex left so in theory I think it's another two years but I have to check that on the motion to modify just to be sure. I think that might have tacked on some more time to repay.

OMG I'm so sorry about your accident and I'm so glad you are still here! My ex was in an accident the year of COVID and totaled his car but he was at fault because he was drunk behind the wheel..yeah he's a gem. Which made our car insurance rates sky high. I severed myself from his horrible driving record that day and got an amazing rate because my record was squeaky clean. And after my accident, I was desperate and only had my income to help me get a car. So I took the word of some crooks (I should have known because my ex was a part time car dealer) and terrified after everyone passed the buck and no one took the responsibility. I have absolutely ripped them a new one on Yelp and Google and anywhere else I can because them misleading me could have led to all my hard work completely down the drain.

I'm trying to get help on my mortgage because it is in the arrears. I've requested assistance from a state program and a loan modification directly through my mortgage company so one or both I hope will come through soon because I'm out of options to pay that much money back in one lump sum. So yeah I'm just continuing to make the payments (actually about $50 extra on top of the modified payments) every month and hoping to ride this thing out with as few hiccups as possible. I didn't want to refile or surrender the car so I'm praying it all works out and I just pay the note and keep myself afloat.

[Carmella]

kmccoleman just wondering would it be better to put that extra $50 on your mortgage arrears? I know it's not a lot, but I would try keep trying whatever you can (and I understand you are working on it) to get out of the arrears. Near the end of BK there's a document that the trustee sends out to make sure you are current on your mortgage I believe it's to check and give time to fix it before BK ends? At least that's my nonofficial non legal and semi-educated understanding. I received that document already. It seems my BK is ending early, I assume because some creditors did not file.

(edit to add) maybe don't push to end the BK sooner if you need time to get out of the arrears??? Just a thought.

I would HOPE that since you got a car and for $20,000 we can say it's not a luxury car and that you need a car to work that the trustee/court would be sympathetic to the purchase even if it turns out it was not done by the book. If the attorney says, "just leave it alone" it is most likely the best thing to do. As you know we always have the tendency to worry more even when attorney says it's ok. I have read countless people here with concern and the attorney has been right in every account I have read (including my own anxiety/concerns).

BK 13 is NOT for Sissies. We can make it through and be better off in the end.

And Karma is going to be looking for deadbeat (ex) husband....

[flashoflight]

I spoke to my attorney and she suggested and I quote to "leave it alone."

It does sound like your attorney knows she cannot reduce your payment any more due to the math dictating the absolute minimum you must pay to unsecured creditors and the dwindling time remaining in the plan. Plans cannot exceed 60 months anymore ever since the bankruptcy related provisions of CARES Act expired. She also doesn't want to do anything with the recent car purchase because again, she cannot reduce your plan payment any more and that notification may result in a motion to dismiss for infeasibility. That takes the focus to the mortgage. If you can get current again on the mortgage with a loan mod or deferral lien and don't fall behind on the mortgage again, you might survive with the discharge intact instead of losing it. The debt in your name by your ex is something post-petition and may have happened anyway if you never filed the CH13. You need a lock on all three credit reports so he can't do anymore damage.

[kmccoleman]

kmccoleman just wondering would it be better to put that extra $50 on your mortgage arrears? I know it's not a lot, but I would try keep trying whatever you can (and I understand you are working on it) to get out of the arrears. Near the end of BK there's a document that the trustee sends out to make sure you are current on your mortgage I believe it's to check and give time to fix it before BK ends? At least that's my nonofficial non legal and semi-educated understanding. I received that document already. It seems my BK is ending early, I assume because some creditors did not file.

(edit to add) maybe don't push to end the BK sooner if you need time to get out of the arrears??? Just a thought.

I would HOPE that since you got a car and for $20,000 we can say it's not a luxury car and that you need a car to work that the trustee/court would be sympathetic to the purchase even if it turns out it was not done by the book. If the attorney says, "just leave it alone" it is most likely the best thing to do. As you know we always have the tendency to worry more even when attorney says it's ok. I have read countless people here with concern and the attorney has been right in every account I have read (including my own anxiety/concerns).

BK 13 is NOT for Sissies. We can make it through and be better off in the end.

And Karma is going to be looking for deadbeat (ex) husband....

I'm actually doing that now. Sending what I can when I can. But I have a kid in college, arrears on almost everything thanks to my ex and a new car note so it is essential this Ch. 13 stays in tact to keep the other things at bay. Specifically the tax debt that's from 6-8 years ago when we still were filing together. He never took out enough taxes and still doesn't. Because he's a money hungry greedy narcissist he doesn't care about consequences to his actions so he leaves everyone else holding the responsibilities. There was a full year this man didn't pay our HOA fees, utilities or mortgage. He pocketed every dime. I only got the bills after he was forced to vacate.

I'm not trying to end it any sooner than necessary because I need the protection. My house has quite a bit of equity and as a term of our divorce I didn't touch my ex's 401K and I bought him out of his share for any sale or refinance on the property so essentially it's mine no matter what I decide to do with it. But so are the repairs and all that goes with it on my one salary. So I'm just trying to stay above water at this point.

My attorney said no flashing lights, no smoke signals to issue, just leave it alone. Given the circumstances and necessity for the vehicle she doesn't think there would have been an objection anyway but again she doesn't like to rock the boat..or do work. She's already been paid so she wants to do the bare minimum to ride this thing out.

Yeah it's actually just a standard 2016 Jeep. I don't have any TESLA hopes or dreams. Just something big enough for my 5'10 frame and my son's even bigger 6'5 frame. I'm constantly on edge about missteps or things I may do wrong or angering my Trustee but I picked her because she had glowing reviews and even after me the reviews are still glowing so she may be flakey but she knows her stuff!

Yeah this is definitely not for the weak. I'm going a much needed vacation this year for the first time in I don't even remember. I spent my 40th birthday in a hotel room with my kid because our house had a major flood and we had to move out for 4 months to get repairs done. So I told myself once my divorce was final I was gonna YOLO it up for my birthday if for no other time.

I definitely hope karma has his address and knocks soon. So far all he's gotten is slaps on the wrist and slightly inconvenienced with a few probations but nothing horrible. I'm just trying to be done and get my life back.

[kmccoleman]

It does sound like your attorney knows she cannot reduce your payment any more due to the math dictating the absolute minimum you must pay to unsecured creditors and the dwindling time remaining in the plan. Plans cannot exceed 60 months anymore ever since the bankruptcy related provisions of CARES Act expired. She also doesn't want to do anything with the recent car purchase because again, she cannot reduce your plan payment any more and that notification may result in a motion to dismiss for infeasibility. That takes the focus to the mortgage. If you can get current again on the mortgage with a loan mod or deferral lien and don't fall behind on the mortgage again, you might survive with the discharge intact instead of losing it. The debt in your name by your ex is something post-petition and may have happened anyway if you never filed the CH13. You need a lock on all three credit reports so he can't do anymore damage.

I'm already in an 100% plan to pay back. She got my payments decreased because of the COVID restriction the bankruptcy courts had in place and I almost didn't make that deadline so I was thankful it didn't get dismissed then because I wasn't getting enough to survive let alone pay a $600 bankruptcy payment to anyone.

My ex is a bastard. The reason I even had to file was to save the house. And he likely would have used my credit for far more had I not caught it. He's also pissed because of the protection order, being removed from his drunk den aka the marital home and losing that marital home in the divorce. He did however say I'd never get a dime from him which I didn't. I forfeited my right to his 401K to "buy him out" of his share of the house. I got half his retirement but he's nowhere near retirement age. But the other things he's required to do including insure our son until he's 26 he has not done and he hasn't moved his mail or told his many creditors and the process servers that is not his home. He hasn't even moved his stuff. But since it's my house now it'll be going in a "Got Junk" truck to be thrown in the city's landfill.

All my credit files now have fraud alerts. I'm still trying to get out of the mess he created with the house, the utilities and my credit. I'm just hoping like Carmella said, Karma finds him and his address.

[Carmella]

I don't know how this plays, but in the order for discharge I have on PACER today there is a list of items that creditors can collect

Debts for certain consumer purchases made after the bankruptcy case was filed if obtaining the trustee's prior approval of incurring the debt was practicable but was not obtained

It made me wonder if that would apply to something like the car loan, obviously you know you will pay on it and don't expect that debt to be discharged. But it also mentions trustee's prior approval wasn't obtained ???

Like I said before our attorney usually knows best if they say don't worry, don't worry.

[kmccoleman]

I don't know how this plays, but in the order for discharge I have on PACER today there is a list of items that creditors can collect

Debts for certain consumer purchases made after the bankruptcy case was filed if obtaining the trustee's prior approval of incurring the debt was practicable but was not obtained

It made me wonder if that would apply to something like the car loan, obviously you know you will pay on it and don't expect that debt to be discharged. But it also mentions trustee's prior approval wasn't obtained ???

Like I said before our attorney usually knows best if they say don't worry, don't worry.

My car note was never a part of my bankruptcy. Just the arrears that needed to be collected. That car note was also in both me and my ex's name so much like the tax debt I'm paying in the joint names, I'm not looking for this debt to be discharged, just the ones in the bankruptcy currently. Because I'm paying back at 100% I don't think my attorney would advise me to leave it alone unless it wasn't a life altering mistake. Plus I have another two years tacked on until discharge due to the payment decrease I got on my plan payments back in 2021 when I was out of work.

So I have closer to 4 more years versus two. Honestly the longer the better to give my credit a chance to rebound and to give me time to try and refinance on my home to have it in my name only. I have 3 years from the date my divorce became final to either refinance or sell this house to remove my ex's name from this house so the longer I'm under protection the better.

[Carmella]

Sounds good kmccoleman I just thought it was positive because it sounds like not having the approval probably is not an issue. I was thinking the car was only under your name. You have a good plan and you will keep doing what you have to do in order to succeed.

[Barbisi]

kmccoleman, I think Carmella is just so empathetic and knows exactly what to say, that I could never top her responses, LOL!
But please accept my deepest sympathy on what you are having to go through! You deserve so much better.
I remember all your posts a few years ago about the nightmare home flooding repairs and the situation with your son, and am sorry you are still going through so much Scheisse! It's so not fair and I hope you can resolve these terrible issues enough to make it through to the end and if possible, refile to get a better plan!
Happy Birthday in advance and enjoy your much deserved Vacation!

[kmccoleman]

Sounds good kmccoleman I just thought it was positive because it sounds like not having the approval probably is not an issue. I was thinking the car was only under your name. You have a good plan and you will keep doing what you have to do in order to succeed.

Yeah I think that's why my attorney didn't stress too hard and I was having an entire stroke over it. When I talked to her she just so lax like ehhh..just leave it. Like I had bought gum without asking lol.

This is one less thing that ties me to my ex paid off and gone. If the housing market continues to be insane I'll try to refinance in a few years in just my name so I have zero ties to that man. I honestly don't now because I bought him out of his portion of this house so he gets nothing if I sell. So I'm just happy I didn't cause a major setback. Plus the extra time gives me a chance to get my financial ducks in a row. So onward and upward. I'm so happy I remembered this forum because I was about to lose my mind waiting for my attorney. You all were so amazing and knowledgeable I knew you all would be supportive and smarter than me with this being vets in this Chapter 13 crazytown.

[kmccoleman]

kmccoleman, I think Carmella is just so empathetic and knows exactly what to say, that I could never top her responses, LOL!
But please accept my deepest sympathy on what you are having to go through! You deserve so much better.
I remember all your posts a few years ago about the nightmare home flooding repairs and the situation with your son, and am sorry you are still going through so much Scheisse! It's so not fair and I hope you can resolve these terrible issues enough to make it through to the end and if possible, refile to get a better plan!
Happy Birthday in advance and enjoy your much deserved Vacation!

Isn't Carmella the best?!! She is such a comfort and full of knowledge. I was having a whole panic attack and she "happy trees" it all away Bob Ross style lol.

Yeah the house repairs were a nightmare and my contractor who was a family actually passed away mid construction so between that and having to find someone to finish the repairs then the lockdown then my ex losing his entire drunken mind and being forced out it was a lot. I was ill most of the lockdown and had 3 major surgeries from June to October of 2020. So I'm feeling blessed and absolutely thankful I'm still here to screw up and fix it every day.

My son is doing well all things considering and we are just taking life as it comes. I'm hoping to really ride thus plan out and get to the finish line even if it's extended more. Gives me time to get all my financial ducks in a row. The restrictions of course suck but the protection makes it worth it. Because had I not had it I would have lost my home a long time ago.