Lawyer wants us to go Chapter 13!!!!

[pandabear77]

He said we have $600 dollars left over a month and that we have to file 13.

I have $.18 in my checking account right now. I can't afford to put gas in my car to go babysit my niece.

We stopped paying the credit cards and we finally could buy much needed clothes for the kids and ourselves (I owed two shirts and one pair of jeans) It felt good to throw away holey undies and socks. We finally got the medical tests I needed and the dental work DH needed. We fixed our van and were able to put in a new back door and stop the leaking and floor rot.

How the heck does he figure we have $600?!!!!

I'm freaking out right now. I guess I got used to having food money and being able to buy my kids stuff like normal people do.

Oh, DH made $51,000 last year. That's WAY below Michigans median income for a family of 4.

What am I doing wrong? My expense list MUST be off, but I took my numbers from MyMoney, averaging the last 12 month.

Help! I feel sick!

[FilingOnMyOwn]

Don't do it. Go find another attorney.

[pandabear77]

But we already paid this one $1000. We used our tax return and we have no way to pay another lawyer!

We still owe this guy another $400.

[alh]

Don't use expenses for the past, use reasonable POST bankruptcy expenses. That's perfectly legitimate. I filed due to an extended period of un/under employment that made my expenses artificially low as I had no money to spend on expenses. Then when I started a new job right before I filed I had some attorneys tell me that I had to stay with those expense numbers and thus I had to file a 13. That was not correct. New lawyer who was a trustee confirmated as much. I was discharged with no one even questioning my expenses. You WOULD need documentation if some expenses were out of the norm. Hope that helps some.

[pandabear77]

I just re-did our expense list using the last three months as a basis.

We spend $4417. Our expenses have gone up recently because of my new medication. I've been averaging 5 doctor/specialist appointments per month as of late.

Our deck half rotted away last winter so we replaced several boards, so that is in there, along with the car repairs and clothing (we never really spent anything in that catagory before we stopped paying on the cards.)

[tofargone]

My understanding is if you are below the Median you do not need to do the means test. Unless you have arears on a house or car you are trying to keep you should be able to do a 7. If you have to keep the lawyer you have I would suggest you have a heart to heart with him and tell him that you want to file a 7 and thats it. Remember even though they seem to forget it, you are the one paying him to work for you.

Good luck

[alh]

Our deck half rotted away last winter so we replaced several boards, so that is in there, along with the car repairs and clothing (we never really spent anything in that catagory before we stopped paying on the cards.)

Great example of why you need to use anticipated post BK expenses.

[lrprn]

Panda, you need to give your lawyer reasonable expenses that you would normally be paying for everyone in your family if you weren't close to broke. By using your actual expenses which are *much* lower than normal, you are creating the impression that you have more money than you actually do and making it possible for this lawyer to push you towards Ch 13.

Frankly, since you are under the median income for your family size, as tofargone said, you need to have a serious sit-down talk with your attorney and ask him why he thinks you have to file Ch 13. For example, are you in arrears on your house payments and you want to save your house?? You have to be caught up on all your asset payments to file Ch 7.

[SinkingFast]

Panda, you need to give your lawyer reasonable expenses that you would normally be paying for everyone in your family if you weren't close to broke. By using your actual expenses which are *much* lower than normal, you are creating the impression that you have more money than you actually do and making it possible for this lawyer to push you towards Ch 13.

Frankly, since you are under the median income for your family size, as tofargone said, you need to have a serious sit-down talk with your attorney and ask him why he thinks you have to file Ch 13. For example, are you in arrears on your house payments and you want to save your house?? You have to be caught up on all your asset payments to file Ch 7.

And after that chat, if the attny does not have a good reason for a Ch 13,........ Mortgage arrears, too much home equity, whatever,........ Ask for your money back. Tell the attny you've changed your mind and do not want to file. You will work out agreements on your own.

Then shop around for another attny. Chat with 2-3 more. Or a dozen more if you have to. Been there, done that, got the T-shirt. A dozen Consults telling us we had to file Ch 13. WRONG!!

Find you an attny who will work for you! Not for the Trustee.

[pandabear77]

We have one van, we owe exactly what it's worth and not been late on payments.

We have our house, but have NEVER been behind on the morgage. We have about $4000 equatiy in it. Our total assets came out to be worth $16900, below what we are allowed as a married couple. We have NO savings.

I didn't think we had to do a means test with our income, but the lawyer insisted. He is very rude. When I was asking him about his numbers (like where he got the $600 from) he told me I just need to stop talking and let him do his job.

This has been dragging out since February.

[petrified]

pandabear77,

A lot of lawyers try to push you into a 13 because they can charge more. Don't let him do that to you! My lawyer also wanted me to do a 13 but I did my own research and told him that I would not be doing a 13 and insisted he file as a 7 - I just got discharged

Be assertive - tell him you'd like your money back if he insists on a 13. Also, you do not have to do the Means Test if you are below median income.

As others have said, create a list of reasonable expenses for yourself - do not use actual since you have not really been funding proper neccessities (like underwear!). Look at IRS figures and use those as a guide.

Don't be bullied!!! This is YOUR life and future - not his.

Good luck!

P

[JollyGG]

We have one van, we owe exactly what it's worth and not been late on payments.

We have our house, but have NEVER been behind on the morgage. We have about $4000 equatiy in it. Our total assets came out to be worth $16900, below what we are allowed as a married couple. We have NO savings.

I didn't think we had to do a means test with our income, but the lawyer insisted. He is very rude. When I was asking him about his numbers (like where he got the $600 from) he told me I just need to stop talking and let him do his job.

This has been dragging out since February.

I'd be asking for my money back.

[FilingOnMyOwn]

When I was asking him about his numbers (like where he got the $600 from) he told me I just need to stop talking and let him do his job.

After reading that, I say screw this guy. Back out now before its too late. Tell him you are not going to file and ask for your money back.

[CindyLou]

Get out fast!! Your 1000 was retainer. He has not used it all up yet. If you do not file he owes it back to you!! I bet once you ask for your money back her will majically figure out that you should do a 7.