Confirmed but Monthly Payment to Trustee is through the Roof!

[Desperatedays]

Hope anyone can help? We were confirmed recently but the trustee came back with a payment of $3700 pm after the confirmation meeting which is not possible for us to pay. The payment before the confirmation was $2400 pm.
Our attorney has told us that we have to "give up" our house (we have a home abroad) here in Orlando and let it forclose. The Trustee has now stopped making payments to our Mortgage lender although we have not received any paperwork from the bank as yet.
What i am wondering is, is there any way I can modifly our payment plan with the Trustee so we can keep the house? Our Attorney does not help and seems too busy. The paralegal said we could try to modify the loan? Is is too late to change the plan after confirmation?
Really confused about this whole process in Florida! Thanks for any help!

[AngelinaCatHub]

You have one of two choices. First, get a better attorney, and attempt to modify. If the Trustee will not cooperate, you may default and have your bk dismissed. However, throwing good money after bad, perhaps in your attempt to modify, the Judge may see your desire to keep the house.

What about this other house? I would say that that could be a situation that has swayed your Trustee into a negative feeling of your ability to pay. Can you get rid of the out of country house? 'Hub

[justbroke]

First, I agree with 'Hub on getting a better attorney.

Our attorney has told us that we have to "give up" our house (we have a home abroad) here in Orlando and let it forclose. The Trustee has now stopped making payments to our Mortgage lender although we have not received any paperwork from the bank as yet.

However, something in particular jumps right out of me. it seems as though you have a confirmed plan with the Mortgage included in Plan? This is not a good thing! You cannot just re-classify a secured creditor's claim in a confirmed plan. In other words, since you now have that mortgage in plan, you can't just return the home and reclassify the mortgage holder's claim as unsecured... it's just not that simple. You would need to ask the court for permission to surrender the home... then you would have to wait for the lender to foreclose upon the home, issue a deficiency, and then litigate over whether the deficiency is a priority, administrative, secured or unsecured claim. There is plenty of caselaw on this topic.

What i am wondering is, is there any way I can modifly our payment plan with the Trustee so we can keep the house? Our Attorney does not help and seems too busy. The paralegal said we could try to modify the loan? Is is too late to change the plan after confirmation?
Really confused about this whole process in Florida! Thanks for any help!

Now that I read this part of your post, it sounds like you want to keep two homes? You indicated that you have one abroad. in order to keep that other home, you have to pay the "current market value" of that home while you are in the Plan to your unsecured creditors. This undoubtedly is pushing you into a 100% payback plan.

The only thing you can do, is give up the home "abroad" and then ask for a Plan modification. Either your lawyer really messed this up, or you were stubborn and wanted to keep the 2nd home. I believe that the 2nd home is what is driving your plan payment up and putting you into a 100% plan.

I'm not trying to scare you or poke at your situation, but you have some serious issues to contend with. You also have some important decisions to make. I'm hoping that your attorney went through all this with you, especially regarding that 2nd home.

Adding... You really need to get with your attorney. If that requires stalking him at his office (waiting in the reception area every afternoon and calling him everyday), then do it. You are in limbo. You first need to decide what you really want to do. You may have to give up the home abroad. You may have to give up the home here (if you can't afford it). You may even have to let your case dismiss and refile the "right way".

[Flamingo]

As Justbroke indicates, you have to figure out if you are truly able to afford both homes - it apppears you are not and wanted to keep them. Since you are already represented by an attorney, switching to another would be costly. Time for some serious discussions with your attorney so you know exactly where you stand and what you can and cannot do. Best of luck to you...