Some Judges have held that petition cannot be filed on the same day, so if you wait until just after midnight to file then you’re golden (assuming that’s problem where you practice). Client has about $3700 per month net, no contributions to retirement. His mortgage is $2480. He only has negligible equity in the home, and in fact, given the market, may be slightly upside down. He is not and never has been delinquent on his mortgage. He has a little over $100,000 in unsecured debt. The house is the only secured debt and he’d like to keep it. Will the trustee have a problem with the fact that his mortgage is such a large part of his income It is my understanding that my trustee will not require the mortgage to be part of the plan if there are no delinquencies. Debtor has been using CC to make mortgage payments or used CC to live. My rule is if house payment is 40% or more of net plan may be confirmed but will not last after a few months or some period of time – debtor will figure it simply is not worth it. “Robbing Peter to pay Paul” does not work.
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