Typical settlement amounts on 13

[tmr76]

What is the name of your state?What is the name of your state?IL

I have lots of questions... as you can see.

Is there a typical repayment amount for unsecured debts on a Ch 13 (ie .10 on the dollar)? Is it at the discretion of the attorney or is it figured using debt and income/disposable income?

 

[wayne-o]

My ratio was figured with my attorney after listing my incomes and "reasonable" living expenses we had my excess income. We divided my debts by this amount to figure the percentage that I would pay. The lawyer did inform that if I paid less than 20% I would forfeit my tax refunds for the duration of my bankruptcy. Of course any ratio must be approved by the trustee and the bankruptcy judge.

 

[Ladynred]

ITs not at the ATTORNEY's discretion at all, its all dependent on your disposable income. You submit a plan based on that number and then the creditors and the court has to agree for your plan to be confirmed.

I hope your lawyer is allowing some leeway for emergencies.

 

[wayne-o]

I hope my answer was not misleading. My attorney helped me with the schedule and as Ladynred said, the trustee and bk judge signed off on it. My attorney was helpful in that he came up with expenses that I may not have thought of on my own like haircuts, vet visits, dry cleaning etc. etc. It is good to list ALL your expenses as they will take all of your disposable afterwards. Good luck!!!

 

[tmr76]

That was another question I had, about tax refunds and if they take them from us. We use that to supplement our income for when my husband is laid off. The problem here is I added up the expenses for my family per month, including the things like haircuts and pet food and vehicle maintenance and we're in the red... How can he say we have to file a 13 if we have no disposable income? I kept telling him that my bank account does not show that I have all this disposable income....

 

[Ladynred]

Well, if you haven't even SEEN this guy with all your papers, there's just no way he can say over the phone that you have to be in a Ch 13. He's seeing $$$$ for the larger fee.

Run the numbers, put them on paper, subtract expenses from income.. if you're zero or below left over, then Ch 13 probably isn't necessary.