anyone pass the means and got a 13?

[floridian]

anyone here pass the means test and were "forced" to take a 13 anyway? if so, why..

[floridian]

nobody?

[gymbofreak]

Nope~~~

[NowImDownInIt]

I passed and CHOSE to do 13.... I had arrears on my car though.

[Keebler]

It seems to me....

The Means Test answers the question "Is your living expenses reasonable for a family like yours in the area you live." In this regard, you couldn't live in a mansion and make payments on your Bently and pass the means test.

Chapter 7 versus 13, on the other hand, is decided based on answering the question "Do you have disposable income available to pay back your debts." on Schedule I and J.

If you are unusually thrifty and have exceptionally low expenses as shown by the six months prior to filing. And if your income is greater than your living expenses. You'll be expected to pay back a portion of your debts using the money you've got left over at the end of each month through Chapter 13 -- even if you earn almost nothing.

If you spend all of your money every month and your living expenses completely consume your income you'll qualify for Chapter 7.


What puzzles me is how people squeeze out $1,200 to pay an attorney and then file. In your six month summary of living expenses, that's the same as $200 a month that didn't pay for groceries or heating fuel or any valid living expense. Taken literally, you've then got disposable income of $200 per month and you couldn't qualify for Chapter 7. The living expenses on your Bankruptcy Petition would have to be based on fake numbers to be able to show that you have nothing left at the end of the month.

Virtually anyone here would know enough to avoid filing until the outcome was known and the results were favorable. In this regard, Bankruptcy should be carefully structured and planned for.

[floridian]

they come up with the money for the lawyer by stopping payment on their credit cards etc and give that money to the lawyer...

[floridian]

my opinion is, that if you pass the legal test you should qualify... by forcing a person into a thirteen just because you can, is just punishment... maybe they sould bring back debtors prisons..

[BK09]

Keebler in your signature line you mention the undue hardship for the house. .....were you going to keep and the judge forced you to get rid of it b/c it was an undue hardship.

And I agree with you Floridian.........being forced into 13 is BS

[Keebler]

Keebler in your signature line you mention the undue hardship for the house. .....were you going to keep and the judge forced you to get rid of it b/c it was an undue hardship.

Our mortgage is $450 a month and there's no where else we could rent ANYTHING for that much that would house a family with kids. Ruling our mortgage an undue hardship blows my mind.

The judge lectured us on the state of the economy and warned us how real estate values were on the verge of collapse. Right now we have about 25% equity in our home based on our property tax valuation and I'm not convinced we're in danger of ever being upside down by any large amount. There was nothing like a "boom" here and I expect nothing like a collapse either. The Judge is convinced that they gave us a gift by letting us off the hook for any liability for our home and I suppose he's right.

So, nothing really changes and we "ride through" our mortgage by making the payments on time.

[mynameainttracy]

We passed the means by a few hundred dollars but were told that the 7's were being scrutinized so severely by our district that 13 was the safe way to go. I am not sure we could have even done 7 owing taxes. All we are paying in our plan is some back taxes and the attorney's fees.

[StartingOver08]

We passed the means by a few hundred dollars but were told that the 7's were being scrutinized so severely by our district that 13 was the safe way to go. I am not sure we could have even done 7 owing taxes. All we are paying in our plan is some back taxes and the attorney's fees.

This is interesting. I am in a CH 7, no asset and all I pay is my attorney's fees and back taxes too! I just worked out a separate agreement with the IRS that is a very, very minimal payment.