I am asking this for my sister who registered for the site, but for some reason is not able to make a new thread yet. She wanted me to explain her situation and for your help. I told her what a great support group this is getting through these very difficult times.
She is married with 2 kids. Total income is around $110,000 between both of them. Taking the means tests she actually qualify's for a chp 7 because her disposable income is still in the neg. Here's the kicker...She has 95K in unsecured debt, a mortgage at 350K (1st and 2nd combined) she just bought in August 07. She sold a $450K home and downsized (I know what ya'll are thinking, not much downsizing) no equity in home, but still wants to keep it to keep the roof over her family's head, she is driving a 07 SUV and her husband is driving a full size truck, between both payments alone they are paying $1400, they want to keep them as well.
Okay, they also have a boat...they want to surrender, they have a rental property...the want to surrender.
My thoughts to her was she might have some issues if she is over the median income which is around $75K and still in the neg driving the cars shes driving. She has child expenses and so forth, but what do you guys think. She is going to talk to an attorney next week, after she does her taxes this weekend. She already has collection company's calling and she's already advising them she is filing a chp 7 in the next few weeks. I think they may push her into a chp 13 or make her surrender the vehicles and get something cheaper. what is your thoughts?
I figure if they let her do the chp 7, then I filed for a 13 at 100% maybe I should have went out and purchased 2 new vehicles before filing to reduce my disposable income. It puts me in a situation as though it kind of makes me angry (sorry if I offend anyone) because I feel she is being somewhat selfish for driving the new cars and in a new home (all in which is much better than what I have) and she may get to keep it all without paying a dime.
She is married with 2 kids. Total income is around $110,000 between both of them. Taking the means tests she actually qualify's for a chp 7 because her disposable income is still in the neg. Here's the kicker...She has 95K in unsecured debt, a mortgage at 350K (1st and 2nd combined) she just bought in August 07. She sold a $450K home and downsized (I know what ya'll are thinking, not much downsizing) no equity in home, but still wants to keep it to keep the roof over her family's head, she is driving a 07 SUV and her husband is driving a full size truck, between both payments alone they are paying $1400, they want to keep them as well.
Okay, they also have a boat...they want to surrender, they have a rental property...the want to surrender.
My thoughts to her was she might have some issues if she is over the median income which is around $75K and still in the neg driving the cars shes driving. She has child expenses and so forth, but what do you guys think. She is going to talk to an attorney next week, after she does her taxes this weekend. She already has collection company's calling and she's already advising them she is filing a chp 7 in the next few weeks. I think they may push her into a chp 13 or make her surrender the vehicles and get something cheaper. what is your thoughts?
I figure if they let her do the chp 7, then I filed for a 13 at 100% maybe I should have went out and purchased 2 new vehicles before filing to reduce my disposable income. It puts me in a situation as though it kind of makes me angry (sorry if I offend anyone) because I feel she is being somewhat selfish for driving the new cars and in a new home (all in which is much better than what I have) and she may get to keep it all without paying a dime.
) I would smile and nod and say, "Do whatever you think is best, dear," and not go further than that. Why? Because you're already uncomfortable with the idea of her getting a 7, which apparently she wants, and money issues are the powder keg of any relationship. This could erupt in kind of an ugly way, if she's dead set on a 7 and you can't support it in good conscience. I'm not saying you're wrong -- God knows I've felt that way myself! -- only that you don't want to get caught between her want and your resentment. Step back, smile and nod, and let her atty figure it out for her.
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