UST asking for more time

[backtoschool]

Here are the facts of my case:

*Under median at time of filing (by 30% or more)
*$185K+ in unsecured debt
*UST asked for 2 years of cc statements, bank statements, tax returns, etc...2,000 pages worth. I dropped them off a week before his deadline.
*UST did not show up at my 341.
*I haven not heard anything since my 341

He listed no reasons for an extension...just the fact he needed more time to finish his investigation.

I knew from the beginning it would be a fight with the UST. Now I am worried because my income has been restored and my wife is working now, so we are actually over the median income at the moment.

Even though he shouldn't count that new income, I think he is trying to psych you out and force you into a chap 13. Do you have car payments or an overly high mortgage that he might question?

[mike258]

Even though he shouldn't count that new income, I think he is trying to psych you out and force you into a chap 13. Do you have car payments or an overly high mortgage that he might question?

I have two car payments one is $221, the other is $277.

I am not paying any mortgage at the moment because I am surrendering my home. My rent will be $2,000 +/- a month once I move.

The IRS standard for housing and utilities in my area is $2,555 a month.

[backtoschool]

I have two car payments one is $221, the other is $277.

I am not paying any mortgage at the moment because I am surrendering my home. My rent will be $2,000 +/- a month once I move.

The IRS standard for housing and utilities in my area is $2,555 a month.

Wow, this is strange, I don't see any flags in your case. Was your income much higher last year? I know that the local trustee grilled me because my income was much higher for the last two years than for the six month look back period.

Did you claim any "special circumstances" like student loans?

[mike258]

Wow, this is strange, I don't see any flags in your case. Was your income much higher last year? I know that the local trustee grilled me because my income was much higher for the last two years than for the six month look back period.

Did you claim any "special circumstances" like student loans?

My income in 2008 was 110K. That may sound like alot, but the median income for my state for a family of four is $100,280. My income in the 6 months prior to filing was $36K, so you can see I was well under.

Now that I am working full time again and my wife finally got a job, we will make about $87K this year.

I have no student loans.

[backtoschool]

My income in 2008 was 110K. That may sound like alot, but the median income for my state for a family of four is $100,280. My income in the 6 months prior to filing was $36K, so you can see I was well under.

Now that I am working full time again and my wife finally got a job, we will make about $87K this year.

I have no student loans.

It could be the prior year's income. When I lived in nyc I made 175k a year. In New York, even if you pass the means test, they will try to push you into a chap 13 if you are high income. Then I lost my job in Jan, and I moved to the midwest and now I make way under the median, but in New York, I still would have been under close scrutiny because of my last two prior year tax returns.

I know that in New York, they look closely at any case where income has been over 100k for the last two years. This is what my New York attorney told me, and also two other attorneys in New York that I consulted with before I hired my New York attorney. My New York attorney told me that if there was income over 100k in the last two years, the trustee will try to find any expense possible to cut to fund a chapter 13. Now you are not high income currently because of what you earned in the look back period, but I know in my own case, the tax returns I handed in really affected how they looked at my case, even though my income in the six month look back period was well under the median.

That's the only thing I can think of in your case. There are no other red flags from what you mentioned.

[aljohnson007]

[i]

[Vanda]

It sounds like they are just backed up. In my case they asked for extensions 3 times.

[2manybills]

I still think you should file an objection just for the record. Also I don't think the UST has any idea that you or your wife got a job. I really think this is about the fact that the courts are so backed up. I'm not sure where you live, but in So. Cal. $100K a year is not much considering rents are $2500 a month for a 2 bedroom apartment.

I'm really surprised that in NYC as backtoschool said the UST's are scrutinizing the cases so hard. The cost of living is just as outrageous in NYC along with property taxes, etc.

[Kingxray]

Not yet. The motion was just filed a few hours ago. I wonder if I should object...

We went through this the first time we filed. We dismissed our case and refiled. This time our 341 was continued for amendments and the UST filed a statement of abuse (within the allowed time frame). My lawyer says it could be just to buy more time and not to worry at this point. He also said if the UST wants an extentsion we will agree to it because it does not help our case to fight an extension or hurt it. We haven't heard anything yet. My advice is not to object and let it play out. If necessary you can always bring up the time of objection at a later date. Good luck. Keep us posted.