Posted by: admin in chapter 13 banruptcy attorney on
mcc1404 asked:
5 years ago I went thru a very expensive and nasty separation and divorce, at the time I had a thriving business and a good income. Now, I only make a fraction of what I used to. I ended up losing everything and was forced into Chapter 13. Then, I was pushed into signing a family support agreement that I could not afford.Everyone keeps basing everything on my past income. My family support is $2,700.00 monthly and my bankruptcy payment is currently at $500.00 monthly and is getting ready to increase to $1,430.00 monthly next month. I have not been able to pay Federal Income tax for the last 3 years even though I have filed the returns. I am really struggling to keep up the payments at even the $500.00 amount to the Bankruptcy court, let alone have it go to $1,430.00 a month. I hardly have anything left and can barely make ends meet. What can I do to get some help? I currently have a bankruptcy attorney, but with the economy, my wages have continued to go down. I just can’t afford to pay out over $4,100.00 monthly BEFORE I pay any of my other bills for insurance, housing, food, ETC. I am trying to do the right thing and take care of my family obligations but it is getting to be too much on me and I can’t keep up this pace, just not enough money to go around. Any good advice out there?
Responses are currently closed, but you can trackback from your own site.
5 years ago I went thru a very expensive and nasty separation and divorce, at the time I had a thriving business and a good income. Now, I only make a fraction of what I used to. I ended up losing everything and was forced into Chapter 13. Then, I was pushed into signing a family support agreement that I could not afford.Everyone keeps basing everything on my past income. My family support is $2,700.00 monthly and my bankruptcy payment is currently at $500.00 monthly and is getting ready to increase to $1,430.00 monthly next month. I have not been able to pay Federal Income tax for the last 3 years even though I have filed the returns. I am really struggling to keep up the payments at even the $500.00 amount to the Bankruptcy court, let alone have it go to $1,430.00 a month. I hardly have anything left and can barely make ends meet. What can I do to get some help? I currently have a bankruptcy attorney, but with the economy, my wages have continued to go down. I just can’t afford to pay out over $4,100.00 monthly BEFORE I pay any of my other bills for insurance, housing, food, ETC. I am trying to do the right thing and take care of my family obligations but it is getting to be too much on me and I can’t keep up this pace, just not enough money to go around. Any good advice out there?
Has your income changed since you filed your chapter 13? If it has, your bankruptcy attorney can submit a modification of your plan payments. The plan is based on your income, and if there is a difference from when you filed, then you have the right to have it modified thru the bankruptcy courts. If your income has changed (reduced),as well, you may be able to convert the chapter 13 to a chapter 7 discharge, based on income again, but..it’s worth asking and having your attorney review your current income. With the conversion to a chapter 7, you will still be responsible for the taxes owed and child support, but you may be able to discharge other debts that you cannot afford to pay. You may want to seek the counsel of an attorney in family law and bankruptcy. How many kids?? That’s a high amount, and what state? Sounds like you got screwed with the support amount, but, once again, you can have any family law attorney review what another attorney has done for free on the initial consultation. A conversion to a chapter 7 or a modification may cost you a small fee upfront to have this done, but, if it can reduce what you are currently paying, it will be worth checking into. Good Luck!