@jmw1 wrote:
@Anonymous wrote:Hi there! My husband and I filed for chapter 13 a year ago, we found out that the VA will work with people during chapter 13 as long as they have made 12 on-time monthly payments to the Trustee.
Has anyone here had success obtaining a VA loan during chapter 13? I understand that any new credit must be approved by the courts, I've talked to a lender and she seemed very optimistic but we probably won't hear back until mid-next week.
I'm not exactly sure what our scores are since I've heard Credit Karma may not be accurate.
How are you coming up with the money needed for cash to close? Does the money belong to the bankruptcy estate or is it somehow being exempted from the estate by your lawyer? Or is the money a gift or seller's concession? If the money is not exempt, the trustee will want to seize it from you for the benefit of the unsecured creditors.
I'm curious why you would say something like that. During my Chapter 13 there was by definition, slack space for saving for a unexpected expenses, good thing too, I needed to buy a new(er) car during my fourth year and I had to pay cash for it. Think about it this way, many jurisdictions allow you to keep your full tax return, others, like mine, allow you to keep the first $1,250 of a tax return; then there is the notion of increases in pay, most Trustees don't flinch unless the year-over-year increase is 10% or greater. During my Chapter 13 I was able to keep all of my tax returns save one where I kept $1,250, and I kept all of my salary increases which totalled 36% over the 5 years.
