Need help ASAP! Failed Means test

[momofthree]

Means test question:

I guess I failed b/c I was using 2 car allowance for section #22 (vehicle operation expense) I'm assuming I can only use one now b/c I only have one car payment??

If you own 2 vehicles, you should get to claim the operating allowance for 2 whether those cars are financed or not.

It's #23/24 that varies by district. Some only allow the ownership expense for vehicles that are financed.

If you don't "pass" the means test, but have no (or negative) dmi on schedules I&J using valid & allowable expenses, I believe you should still qualify for a ch.7. It just means that the issue of abuse does arise and you'll be scrutinized more closely.

Have you met with several different attorney? Keep us posted on your progress.

[Freddy03]

Thought the ransom case changed the car ownership?

[Freddy03]

Ok just talked with the attorney and I'm totally screwed

I can't get approved for a title loan.

He said the only way to pass is get a car loan. Which I can't.

I did ask about the term life insurance and he said there is no way of knowing if it will cause the trustee to ask when it was purchased.

Another option is:

My little one is eligible for braces soon. I could have them put on now and pay the $1200 down payment and take the week off unpaid at work and then file in the month of August. Which this is something I did not want to do b/c I'm up against another wage garnishment and bank levy soon.

I really don't know what to do.

[IamOld]

Freddie - if you do NOT have term life coverage other than the ins you mentioned that husband has, you have a legitimate NEED for life insurance coverage. God forbid either of you passes away - life ins is not a luxury it is a NEED. look here: http://www.acli.com/Consumers/Life%2...roch073010.pdf From the American Council of Life iNsurers

What did atty say about you getting life ins?

Re braces and take a week unpaid...if that's what it takes...to get to the other side...I'm in a similar boat (as you know) and I'm hell bent on getting there!!!

Please ask atty if life ins would be ok. Tell him you and husband have NO term life now, and you have a child, etc...!!!!!!!!

Ok just talked with the attorney and I'm totally screwed

I can't get approved for a title loan.

He said the only way to pass is get a car loan. Which I can't.

I did ask about the term life insurance and he said there is no way of knowing if it will cause the trustee to ask when it was purchased.

Another option is:

My little one is eligible for braces soon. I could have them put on now and pay the $1200 down payment and take the week off unpaid at work and then file in the month of August. Which this is something I did not want to do b/c I'm up against another wage garnishment and bank levy soon.

I really don't know what to do.

[Freddy03]

Freddie - if you do NOT have term life coverage other than the ins you mentioned that husband has, you have a legitimate NEED for life insurance coverage. God forbid either of you passes away - life ins is not a luxury it is a NEED. look here: http://www.acli.com/Consumers/Life%2...roch073010.pdf From the American Council of Life iNsurers

What did atty say about you getting life ins?

Re braces and take a week unpaid...if that's what it takes...to get to the other side...I'm in a similar boat (as you know) and I'm hell bent on getting there!!!

Please ask atty if life ins would be ok. Tell him you and husband have NO term life now, and you have a child, etc...!!!!!!!!

Thanks

I did ask him about the insurance and he said that I could get it but it might raise a red flag b/c I'm purchasing it so close to filing date.

I did call a buy here pay here place and they "might" just might to an in house title loan. He has to call me back. Fingers, toes and everything else crossed.

[IamOld]

Interesting...

Let's hope that you found some nice and reasonable ehem...car salesmen!!!!!!!!!!!

Thanks

I did ask him about the insurance and he said that I could get it but it might raise a red flag b/c I'm purchasing it so close to filing date.

I did call a buy here pay here place and they "might" just might to an in house title loan. He has to call me back. Fingers, toes and everything else crossed.

[debee]

Secured expenses are good choices for over-the-median debtors because it's almost impossible for the UST to find grounds to object to them. They provide safe passage into the chapter 7. I hope you can get this worked out, Freddy.

[SunshineGal]

Freddy,

First, the means test takes your income from the previous 6 months, so if you take a week off in the month you file it isn'yt going to help you.

Now, paying $1200 upfront for son's braces could cause a problem, but, this is a legitimate medical expense and that DOES count on the means test.

SG

[jetsfan2010]

Freddy,
The buy here pay here secured in house financing done by car lots is your way to go. Not only will you get a payment high enough to eat up that 200, but you also will be able to pass the test with no issues.

[Freddy03]

Ok so over the phone looks like it's a go. I'm so nervous bc what if I wake up one morning and the car is gone. I have to go there during the week. He said they don't pull credit. He's kind of doing me a huge favor. I can't believe it - if this works I'm good to go!

Everyone keep your fingers crossed!!!!

[IamOld]

awsome!!!! Consider all fingers crossd!

[BROKEDED]

What about child care. Can you put any kids in daycare? That's an easy way to blow every penny you've got. And I doubt any trustee is going to question those expenses and the reasons for needing childcare are numerous.

[Freddy03]

Brokeded- I get free child care thanks to my mother

[BROKEDED]

That's great! Does the trustee have to know you have free child care. Couldn't it be possible that she can no longer do the job and you NOW have to put a child in daycare.....hint hint, wink wink, nod nod???

Work with me here!

[BROKEDED]

Lots easier to discontinue child care later on if you feel it isn't working out, not needed, your mother finds her second wind...... than it is to get a car loan at outrageous rates and all that THAT entails.