Help from family

[LadyInTheRed]

Thanks! I'm not doing good. I can't stop crying since Friday when this was filed. I feel worse now than before. I thought I would feel some relieve and today I feel worse than yesterday. I can't eat, sleep. Every day since I filed I wake up each morning scared. I can't think about anything else.

Keeping wondering if the attorney and I made mistakes on Friday because we had been going through all the paperwork for two days and were getting tired and worn out. I know it was emotionally draining for me. I cried all the way home.

Looking back I realize now I may have made mistakes on some of the numbers I gave her. Not sure if we can fix the errors now. This stuff is so complicated.

Try not to worry so much. Your schedules can easily be amended. I was in a rush to file my petition on the last day of the month because of a bonus that we would have had to include in the 6 month look back if I didn't file that day. I thought I looked at everything thoroughly. But, when I got home and looked at the petition in a more relaxed manner, I found errors. I called the attorney and he filed amended schedules. No problem at all!

You have lots of time to fix any errors and amend the plan to one that you can successfully complete. For now, just try to focus on the fact that the IRS and all of your creditors will soon be off your back. I know I really enjoyed answering calls during the week after I filed and giving them my case number and attorney's name and phone number. Maybe you can find some pleasure in that as well.

[minan]

So, if you have no equity in the condo, you don't need a homestead exemption and are probably using the exemption system 2.

That gives you $23,250 to exempt your savings. Do you have savings over that amount?

No equity in house. Savings less than $23,250.

The car exemption is $3,525. Any equity in the car over that?

No equity in car. Just got it. Lease was ending on other car. Part of my pre-bk planning.

Do you have any furniture, appliances, clothing or other household good that is worth more than $550 per item?

I don't think the furniture/dishes/etc...is worth much now - certainly not $550 per item.

Do you have more than $1,425 worth of jewelery?

No jewelry worth anything - mostly costume. Probably worth about 150-200.

Do you have tools of trade worth more than a total of $2,220?

Nothing.

Anything else that isn't exempt? A boat? Expensive sports equipment? A Picasso?

No.

Just trying to figure out why you might be required to pay 20% to unsecured creditors. That's the thing that really doesn't make since here unless you are keeping non-exempt assets. Are there any assets listed on Schedule B whose full values (less liens) are not exempted on Schedule C?

No we checked Sked B and Sked C a couple of times to ensure they were correct.

The atty kept saying that I have to pay something back to the unsecured.

My understanding is the student loans would go into forbearance. That's why I asked in another post if I should call my loan servicer, however my understanding is this will be done automatically in most cases. So not sure why she put that in the plan????? As well as why she put the car in the plan???

Someone else on here recommended taking it out of the plan since I get the IRS allowable.

So with all this now i'm scared and confused that I've totally screwed up.

[minan]

Thanks LadyInTheRed for the words of support. I really wish I could feel this way, but I'm just so scared.

I've always followed the rules, worked hard, and thought that going self-employed would be a great opportunity. Instead I end up with back taxes because I didn't know what I was doing in how to set up your business etc...I made so many wrong choices which at the time I thought I was making the right ones for me.

The more the problems expanded, the deeper I sunk into myself because I was so scared and didn't know what to do.

Now here I am.

[Pandora]

does your attorney specialize in Ch. 13?

Goodness gracious, I cant imagine how stressed you are - its stressful enough going through this without extra worries (gentle hugs to you).

As far as paying something back to unsecureds - well, thats not necessarily not true - but... some have had 0% to unsecured, to as little as 1%.

As LadyintheRed stated, try not to overly stress (hard I know) but be very diligent going over your schedules line by line with your attorney - as well as make sure you are accounting for everything allowed for yourself so that you can bring that $567 DMI down, if at all possible, based upon what your allowances are for your area. You need to have food, clothing, gas, medical expenses, etc...

ETA: you mentioned your laywer was 6K - is that just for your BK lawyer - and was that all rolled into your plan?

[minan]

does your attorney specialize in Ch. 13?

Goodness gracious, I cant imagine how stressed you are - its stressful enough going through this without extra worries (gentle hugs to you).

As far as paying something back to unsecureds - well, thats not necessarily not true - but... some have had 0% to unsecured, to as little as 1%.

As LadyintheRed stated, try not to overly stress (hard I know) but be very diligent going over your schedules line by line with your attorney - as well as make sure you are accounting for everything allowed for yourself so that you can bring that $567 DMI down, if at all possible, based upon what your allowances are for your area. You need to have food, clothing, gas, medical expenses, etc...

ETA: you mentioned your laywer was 6K - is that just for your BK lawyer - and was that all rolled into your plan?

She's strictly a bankruptcy lawyer. Doesn't do anything else. Actually she costs 3300.

The reason for the 6K fees was because I went to tax attys before to help with the IRS issue. BK was a last option for me so I tried to workout something with the IRS via the tax atty. The first atty screwed me by taking my money, but doing absolutely nothing. When I finally got a copy of my case file from her firm, I noticed the entire file consisted of the paperwork I completed and only two letters from her to the IRS. I then had to find another more local attorney.

[Pandora]

ouch - you've for certain had a run of bad luck

Glad she does nothing but BK. Who knows, maybe all of this is just an oversight on her part, numbers were wrong and all this worry will be for naught? We can hope right... ?

Have a nice glass of wine or whatever your preference is and forget about it for now - try to enjoy the rest of your Sunday sweetie.

[LadyInTheRed]

The atty kept saying that I have to pay something back to the unsecured.

This just isn't true. If your attorney insists it is, ask her for her authority for that position. Sure, a trustee is going to look at things more closely if nothing goes to unsecured. But if your DMI isn't sufficient to pay unsecured creditors after paying priority and secured debt, then nothing should go to secured creditors. I can see giving a token amount to unsecured to avoid scrutiny, like 1%. But, why 20% when your income won't support it? You need to push your attorney on this.

My understanding is the student loans would go into forbearance. That's why I asked in another post if I should call my loan servicer, however my understanding is this will be done automatically in most cases. So not sure why she put that in the plan????? As well as why she put the car in the plan???

Someone else on here recommended taking it out of the plan since I get the IRS allowable.

So with all this now i'm scared and confused that I've totally screwed up.

I have also read that student loans go into forbearance during Chap 13, but have no experience with them.

Some trustees do insist that car loans get paid in the plan.

You have along list of questions for your attorney.

Turn your fear into action. Make sure your attorney gives you satisfactory answers to your questions. Any screw up can be fixed through amendment.

[LadyInTheRed]

Have a nice glass of wine or whatever your preference is and forget about it for now - try to enjoy the rest of your Sunday sweetie.

That's the best advice yet! There's nothing you can do about this today. I know it's easier said than done, but try to forget your troubles for a few hours.

[momofthree]

I'm also in CA, and in a 0% plan. The unsecureds do not have to get something, but IF they did, they certainly don't need 19%.

[minan]

I'm also in CA, and in a 0% plan. The unsecureds do not have to get something, but IF they did, they certainly don't need 19%.

It appears that the 3,500 I gave to help my niece in college over the last year will have to be included, however as TheLadyInRed said in reply to one of other posts, this still doesn't amount to 19%.