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So what do you do in the "cooling off period'? 180 days?
if the plan is to pay off 180,000 at 3000/month for five years. You pay the 3000 a month for one year then you get a inheritance for 150,000 and you pay off the balance of the plan. Are you out? Is this what is meant by coming out of bankruptcy?
Is this what GM did to come out of chapter 11?
I have a 4000 deductable per family member in my health insurance. I need a emergency fund to pay for medical expenses. 3 out of five family members have chronic illnesses and expenses run over 4000/year.
Can a family member pay off a debt such as car note or make house payment to help us out?
1) In that period, you live in the same manner as you have been living, except to not incur any additional debt.
2) How much of the $180K is secured and how much is unsecured? Is the rest of the debt (I think you said it was over $3M) corporate debt, or are you offering less than the total amount personally owed?
3) You are allowed in include in your plan all medical expenses. If you can prove that you will be spending the $4K deductibles - based on prior years' expenses - you should be able to include that expense in your plan.
4) Yes - a family member can do this. However, this may not help you, as this will not reduce your payments.
The 3 M would include the repossessen deficit on the oldhome probably about 800,000. I think a TN law states that you are limited in on how much you owe on deficit from balnace owed and sale price in Repo. I think that is the only secured. The corporate debt is secured by no assets as explained. However the corporate debt was secured by me personally.
How do you come out of Chaper 11 early like general motors did?
The general rule is unsecured creditors must receive as much as they would receive if the case was a Chapter 7 instead of a Chapter 11. If your wife received an inheritance in a Chapter 7, the entire amount would be taken to pay the unsecured creditors. Since your unsecured debt is more than the expected inheritance, the entire amount can be taken by the Bankruptcy court to pay the unsecured creditors.
In a Chapter 11, the creditors have a lot of control over how much you have to pay and for how long. However, if you will be paying all disposable income, you will have to do this for no more than 5 years before you can "come out" of the Bankruptcy.
I didn't follow the GM case. But you can't compare GM to yourself, as business Bankruptcies have different rules from personal Bankruptcies.
Thanks, It's a mess.