scheudle j and adjustable rate mortgage

[carolen]

I have been reading alot of information here about double checking that your expenses fall in line with figures shown in irs and census bureau guidelines. What if your mortgage payment falls below the the guideline amount? I am asking because of our mortgage being adjustable rate and that can and will change just a few months after we have to file. Since the Schedule j is a look forward can I really "look forward"? We will have to file at least 4-5 months before the adjustment. I know we can ask for our plan to be amended but since the majority of our plan payments will be after the adjustment can I just plan for it and claim more on that expense line?

[jcj112562]

Just my opinion, but since the trustee wants to get maximum return for the creditors, they will more than likely object to any "forward looking" with regard to an ARM. For one, you do not *know* it will adjust, nor do you know precisely how much it will adjust. If you knew those, it would be a simple matter to write the plan to account for the increase. I would hazard a guess that you will have to wait until the adjustment and modify the plan with the concrete mortgage payment when they adjust it.

John

[carolen]

It is an arm in the since the rate adjusts, but its actually a heloc. The one and only loan on this house. So the conversion is from the arm to the fixed rate which will be prime plus their percentage. This occurs at the end of the draw period which is in September of this year. It is for sure. It will drive the payment up about 1,000.00 per month...this is alot I do not want to be late on any payments waiting for the court to ok a modification. I will refinance or modify next year which should even end up with the payment between what it is now, and what it will become in September.