Payment question

[Bkman2]

So when they did my budget it showed I have about $277+/- a month as DMI. Plan was set at $255 a month. When I went to my 341 meeting (2/16/10) the trustee pointed out my wife's CC were not in the plan (she didn't file). I gave that information to my attorney and also gave my new auto insurance and mortgage payments (both went up). My mortgage is not in the plan. Now it shows I have $87 a month as DMI.

Dec & Jan were better months and the trustee wanted to see my income because she wants to raise my payments. I can show no income for Feb. I'm not sure how this will go.

My wife's income is $750 a month less then whats in the plan (stocks cashed out in Sept put her higher for the look back). Attorney is now saying to wait and see what the trustee wants to do with my payments and if they want more we will do a step up plan and then in 4 to 6 months see if my income is below the limits for our state and convert to a chapter 7.

Anyone ever have the attorney say to convert? Anyone have an idea how my plan may change?

[lrprn]

Anyone ever have the attorney say to convert? Anyone have an idea how my plan may change?

Sounds like a reasonable approach given the circumstances you've shared.

Thousands of bk lawyers advise their Ch 13 filers who have significant changes in their filing income and/or expense amounts to convert to Ch 7 every day. There's nothing unusual about that.

When your Means Test and Schedules are re-run with you and your wife's new income and expense levels, if you show less than about $160/month of disposable income, then you'll be able to convert to Ch 7. If you still show more than $160/month, chances are your payments may be lower than they are now since you both will have less income over the last six months when the recalculation is done.