top Ad Widget

Collapse

Announcement

Collapse
No announcement yet.

How will my Ch. 13 work if most of my income is supposedly exempt?

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

    How will my Ch. 13 work if most of my income is supposedly exempt?

    I got out the military back in 2009 and ALL of the debt I currently have was incurred while I was on active duty. Right now, I'm getting 1600 per month from unemployment (have not worked since May), 1550 per month from the GI Bill (full time student), and 1634 from my VA disability (80%) disabled. I was not getting the GI Bill and disability until recently which is what caused me to fall behind on my home payments. I am filing chapter 13 for the sole purpose of saving my home.

    When I add up all the income I have coming in, my monthly income is about 4700 bucks a month. I have been reading up on this online and it appears that my gi bill and disability are exempt from a chapter 13 which means that my only real income would be my unemployment. This number may go up if I get a job soon which I hope. My question is will I still be able to file a chapter 13 with my income the way it is? I should be getting the school benefits for another 30 months and the disability should come for the rest of my life. I do not have a lot of time and it's totally my fault. My foreclosure is set for Jan 4th and Chase has been stringing me along since October. They said that once they have all my documents, they would postpone my foreclosure date until they make a decision on the mod. The only problem is that my documents keep disappearing once I send them in. I have sent my tax form in 4 times now and even though they claimed to have gotten it yesterday, supposedly my HOA letter was never sent in (I sent it in twice already). It seems like they are just trying to stall until my foreclosure date comes on Jan 4th so a 13 is my only other option right now. Considering the holidays and lawyers/banks going on vacation, I have less than 2 weeks to get everything in order.

    #2
    Have you consulted an attorney? I was under the impression (could be completely wrong though), that exempt income didn't count on the means test, but DID count on your income schedule (schedule I) and is used to calculate a payment in ch.13. I'm sure others can chime in here....
    Filed Chapter 13 on 2-28-10. 341 completed 4/14/10. Confirmed 5/14/10. Lien strip granted 2/2/11
    0% payback to unsecured creditors, 56 payments down, 4 to go....

    Comment


      #3
      Your disability does count, sorry to say. The GI Bill money, I am not sure, but it is income, so it may be counted as such.

      Comment


        #4
        Thanks. I know I'm cutting it close but I'm giving chase until next Friday before I file.

        Comment


          #5
          Originally posted by Okieblue View Post
          Your disability does count, sorry to say. The GI Bill money, I am not sure, but it is income, so it may be counted as such.
          From the amount listed it seems as though this might be your housing allowance from Chapter 33 - Post 9/11 GI Bill? (Your book money doesn't count and your tuition is paid directly to your school). Yup - it counts on the Means Test and on Schedule J. At least it did in Washington state. YMMV.
          ~~ Filed Over Median Income Chapter 7: 12/17/2010 ~~ 341 Held: 1/12/2011 ~~ Discharged: 03/16/2011 ~~
          Not an attorney - just an opinionated woman.

          Comment


            #6
            Yep that's the one. I get $1557 a month for housing from the GI Bill. I estimate I would only have to pay back around 13,000 including trustee and attorney fees but I'm expecting to get in a 36 month 100% payback since I'm making a lot more now with 3 sources of income. If only Chase would play ball with me.....Even if they do claim to postpone the sale date, I may still file since I have heard of them telling people that the date was postponed but they still foreclosed anyway.

            Comment

            bottom Ad Widget

            Collapse
            Working...
            X