Confirmed today!!!

[BNKRPTinNC]

I also have payroll deduction for my CH13 payments and, for me, I wouldn't have it any other way. From the posts I have read it is imperative that all payments be made and the automatic deduction assures that. I guess it is a kinda out of sight out of mind sort of thing. One less thing I have to worry about at the end of each month and it forces us to live within our means, meaning whatever is left. Fortunately, we have had a fairly smooth transition with an excellant attorney and a reasonable trustee allowing us the ability to actually have more each month than we've had in the last couple of years.

I also understand that it is not considered a "garnishment" , although it sure feels like one.

[sadandconfus]

paypack period.
why are some people 60 months, some are 48 months and i even saw some at 36 months, how do they calculate that?

[justbroke]

paypack period.
why are some people 60 months, some are 48 months and i even saw some at 36 months, how do they calculate that?

It's called the "applicable commitment period". It is determined by whether you are under or over median. Under median gets 36 months, over median gets 60 months.

There are the caveats. If you're in a 100% plan, it can be shorter. However, that number of months (the applicable commitment period) is meant to be a minimum guideline. However, no plan can exceed 60 months by law.

So, plans can be shorter than 36 months if in a 100% plan. Otherwise, they need to be a minimum of 36 months if you're under the median, or a minimum (and maximum) of 60 months if you're over the median. Always caveat that with whether you're in a 100% plan, and you're good to go!

[sadandconfus]

who determines if you are in a 100% plan, i am definitely under the median.

[justbroke]

who determines if you are in a 100% plan, i am definitely under the median.

It's not who... it's what. It is all based on this concept known as the "disposable monthly income" (DMI). Your DMI determines how much you pay back.

Your DMI is a function of your income less your (allowable) expenses. If your DMI over your "applicable commitment period" is greater than or equal to how much you owe to unsecured creditors... you are in a 100% plan.

DMI x Applicable Commitment Period = Projected Disposable Income

Your projected disposable income is what you'll pay over the term of your plan.

[sadandconfus]

oh i see, so for someone like me who owes about 70,000 and my disposable income monthly is roughly 300 and i'm under the median. I would pay back 300x36=10800 which means i'm not in the 100% club. hooray.