Low monthly payment

[pilkerton21]

Is there a chance that we will get a low monthly payment?

Fiancé did the lawyer consult a couple of months ago and then we decided to go a head and get married and file together in March. We are pretty strapped and can't file a Chapter 7 although that is what we need. Fiancé filed Chapter 7 in 9/03, so he isn't eligible until this coming September to file again, but we need to file something now to keep wages from being garnished!

I did a work up and at the MOST the disposable income we have is $200-$300, is this going to happen? Most posts I've read are $600+.

[steveok]

Honestly, the best person to calculate your monthly payments is going to be the attorney. I myself figured ours and was off due to some different ways they calculate things. Congrats on your upcoming marriage. I'm just wondering if your fiance files prior to your wedding will that help your situation? Something for an attorney to decide i'm sure!

[pilkerton21]

Yes, I agree and we are contacting the attorney again to start the process soon. I am just wondering if there is any chance for that low of a payment if my calculations are correct?

Thanks, we are excited about the wedding. From what I've read it won't help for him to file before we get married, plus I am a cosigner on some of the debt plus my own cc debt so we are going to file everything together.

[steveok]

Do you have any secured debt? i.e. house, car, etc. We were a little behind on the house and car and the trustee required those two included in our plan. That raised our payment substantially, but it is really a relief to know that we make one payment (substantial unfortunately) a month and that covers the house, two cars, back taxes, and our unsecured debt.

[pilkerton21]

As of right now the only secured debt we have is my car (roughly owe $4500 for the next 18 months) and fiance's motorcycle was given back, so we will have the remainder of that balance when it processes. Fiance's car is paid off, but needs work. We were actually looking at getting him another vehicle before we file, but I don't know how that works or will affect the payment or if he can even get a loan right now!

ETA: My car is currently financed through mine and ex-husbands name (easier to leave it than to try to refinance), will this make a difference?

[steveok]

We purchased a vehicle the day before we filed! The amount you owe is just thrown into the plan. If you need a vehicle, that would probably be strongly advised to get one before you file!

[LadyInTheRed]

Yes, it is possible to have that low a payment, as long as it is all of your DMI and covers trustee fees, any attorney fees and debt being paid in the plan and any minimums that have to be paid to unsecured creditors (the value of non-exempt assets, for example).