Should I be concerned....

[Panacea]

because I am!

I fall about 150.00 under the means test, so I don't have to proceed with the rest of the test (but I did, and about 8320235325 times with adjusted figures just in case)

Monthly income - 5800
Means test - 6000 - (to qualify for chapter 7)

But...............
My income the last 6 months is higher then my actually 40 hour work week due to overtime (which is now non-existent). Also, I have a mortgage of 1800. I will give the house up. I have a car payment of 461, which I can give up as well. Owe 25000 on cc's and have a 25000 heloc.

Reality in the future on income (with no overtime)
Monthly income - 3800.

I have stopped paying ALL this month, with exception of the car payment because I flipped out today when the lender called after 10 days late, but will stop next month.

My worry is that now that I'm giving up the house and car in chapter 7, they will put me in chapter 13. I do plan to rent a home after foreclosure, so it'll be about 1500....car will have no payments but will need to buy a new one eventually (just borrowing the car) so must save.

I just cant wrap my head around them allowing me to discharge everything when I'm still working. I was a bit frivolous with me credit card use, on top of using it to pay for necessities.

ALSO...my lawyer seems to think I can file asap, though I keep reading here give it 3 months of no cc use.

Should I be worried............and so sorry for all the questions and rambling. Any help would be appreciated.

[drowning123]

I am in your exact situation and I make almost the exact salary. I have 4 in my household. I think you can show good reason for your expenses depending on your household. I am responsible for one child and two elderly adults who have no income. I have to rent, too, for about 1,500. I'm not worried. My attorney doesn't seem to be worried and he's been in the courts for 35 years. Just my experience.

[keepmine]

I just cant wrap my head around them allowing me to discharge everything when I'm still working. I was a bit frivolous with me credit card use, on top of using it to pay for necessities.


I don't know why this worries you. There is nothing in the bk code that pretains to employment status as a determinant to file and discharge a Chapter 7.
In fact, I'm of the opinion that you don't file unless you're employed and have a basic safety net. After all, you have to support yourself post bk.

[tcreegan]

passed means = work on I & J

Hello panacea,

....take a deep breath.....relax....

Sounds like you pass the means test with no problems, so now is the time to work on schedules I & J This is where your new rent expense, new income level, etc come into play since these schedules are "forward looking" and not tied to the past 6 months like the means test.

Hang in there, you will be OK !

Tom in Colo