Additional "Clauses"

[spearmint]

I've read about people asking their attorney to add clauses to the Ch13 agreement (not sure what it's called) such as when someone wants to go back to school and needs a student loan during the Ch13 period. I'd like to hear of any others that people have requested.

[HHM]

You can put anything you want into a plan. The real question is will it get confirmed.

[spearmint]

In that case, I'd like to know what sort of clauses can realistically be confirmed.

[HHM]

Well, it depends on your specific circumstances.

A common custom thing to do is do a tiered plan...these are used when certain debts MUST be paid in the chapter 13 but the debtor does not have enough disposible income. So lets say a person has $60,000 in tax debt that must be paid but only $500 per month disposible income. To at least get the plan confirmed, you would have the person pay $500 per month, but then in month 24 have the payment increase to $1334 per month with a clause explaining how the debtor is going to earn extra income.

Your thread is not getting much action because "custom" clauses are unique to individual circumstances....this thread would be more useful to you if you described what goals you are trying to accomplish and then the forum can discuss how (or if) those goals can be addressed in a chapter 13.

[spearmint]

Well, it depends on your specific circumstances.

A common custom thing to do is do a tiered plan...these are used when certain debts MUST be paid in the chapter 13 but the debtor does not have enough disposible income. So lets say a person has $60,000 in tax debt that must be paid but only $500 per month disposible income. To at least get the plan confirmed, you would have the person pay $500 per month, but then in month 24 have the payment increase to $1334 per month with a clause explaining how the debtor is going to earn extra income.

Your thread is not getting much action because "custom" clauses are unique to individual circumstances....this thread would be more useful to you if you described what goals you are trying to accomplish and then the forum can discuss how (or if) those goals can be addressed in a chapter 13.

Well, I am not sure yet. I know I want to go back to school to study for a different line of work, perhaps healthcare. This would probably involve a loan as I want to finish my current Master's and try to get another one.

I am sure the idea of starting a business won't fly now, but what about getting some freelance work? Can I ask to keep the money? It wouldn't be much.

Other than that, if I don't get a car before I file, I will definitely need to get one afterwards so I'd need to work that in somehow. My present vehicle is about to bite the dust.

That's all I can think of for now but other things may come to mind as I proceed.

[pcn]

From what I understand, you better get a car now before you file. Once you file your credit report will pretty much rule out any decent interest loans. We're in the same boat, but our debt level won't allow a new loan now, even with decent credit. We'll just have to pray our 125+k Explorer makes it a while longer.

[HHM]

Well, I am not sure yet. I know I want to go back to school to study for a different line of work, perhaps healthcare. This would probably involve a loan as I want to finish my current Master's and try to get another one.

I am sure the idea of starting a business won't fly now, but what about getting some freelance work? Can I ask to keep the money? It wouldn't be much.

Other than that, if I don't get a car before I file, I will definitely need to get one afterwards so I'd need to work that in somehow. My present vehicle is about to bite the dust.

That's all I can think of for now but other things may come to mind as I proceed.

Your duty under the BK code is to devote ALL disposible income to the chapter 13 plan, so the idea of keeping money from freelance works is a non-starter. Also, an ongoing requirement of a chapter 13 is that you have a reliable income source to fund the plan, how would you propose to have such a source and go to school?

[spearmint]

Your duty under the BK code is to devote ALL disposible income to the chapter 13 plan, so the idea of keeping money from freelance works is a non-starter. Also, an ongoing requirement of a chapter 13 is that you have a reliable income source to fund the plan, how would you propose to have such a source and go to school?

I wouldn't. That's why I suggested I would need to get a student loan - or fund it from freelance work which obviously won't fly.