Ch 13 update, I think it's heading to failure

[ivehadit]

We went over the two yr point July 1st on a 5 yr plan. We were on a tight budget but we were making it but with no savings. I would find handyman type jobs and helping a local farmer when I can to try to build a cushion when unexpected expenses popped up and took it all ( water well pump, vehicle exhaust/brakes/transmission,wifes hearing aid repair,medical deductibles we didn't have before,etc/etc).

Raises at work have only been 1% annually because of the economy and with gas costs doubling and food costs and cleaning supplies sky rocketing the odd jobs I pick up won't even cover that anymore. The only reason we went with a 13 is to strip the 2nd valued at 27,000.

We're thinking about converting to a 7, stripping the 2nd is feeling less important and hopefully we can settle with the lender. Were paying 320.00 monthly into the plan which is roughly 8% payback.

I haven't had time to read other posts yet but I have a feeling I'm not alone seeing how costs are rising on everything so much and it's expected to keep on rising.

Has anyone tried to redo their budget numbers with the trustee? sorry after two yrs I don't remember all the terminology. I'm sending my attorney an email soon to let him know this isn't going to work much longer.

[justbroke]

A modification to the plan is often done when there is a change in income. If you filed through an attorney, you should already know that any variances in income should be immediately communicated to the attorney. That way the attorney can advise you on the best course of cation, which could be a Forbearance, a Modification, and/or a conversion to Chapter 7.

So, this would be a Motion to Modify Confirmed Plan if your attorney and you decide to just attempt a modification.

[alorth]

Motions to Modify Confirmed Plans normally come with a cost attached by your atty, don't they? Or am I wrong about this.

[goon]

Motions to Modify Confirmed Plans normally come with a cost attached by your atty, don't they? Or am I wrong about this.

From what I know, you are correct in that a Motion to Modify a Confirmed plan typically has an additional cost from the attorney. That being said it depends on the agreement with the attorney. For example my attorney included the first modification (which I used when we had a child) but any subsequent modifications will have a price tag.

[kornellred]

The trustee will ignore all solicitations from debtors who are represented by an attorney. Adequate justification to modify a confirmed Chapter 13 plan must essentially be proven satisfactory before the trustee will move on it. Every communication I received from my trustee over the course of my own Chapter 13 plan has included the directive to contact my attorney first about every matter of concern.

[ivehadit]

I caught a 2nd breath so to speak and am re-energized to try to see this through to the end. I was down and out for a few days and it gets really hard when wife doesn't grasp the seriousness of this, most times it feels like I'm the only one carrying this burden. Sorry for using the bandwidth I'll get back to work now.

[LadyInTheRed]

Glad to hear it, ivehadit. You have nothing to apologize for. Come back and use the bandwidth anytime you need to get input on your situation or just to vent.