In Re Durczynski

405 B.R. 880 (2009)

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Nature of the Case

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Facts

Ps filed Chapter 7. Ps have $228,760.54 in secured obligations and $111,778.20 in unsecured, nonpriority debt. Most of the unsecured debt stems from credit-card transactions. On their residence, Ps have a first mortgage in the amount of $180,000.00; and a second mortgage of $48,760.54. This residence was built by Ps at a cost of $ 238,000.00, with Ps placing a present value on their residence of $250,000.00. Ps indicated that they intend to reaffirm the obligations for the residence. This requires that Ps allocate $2,187.21, representing $1,698.00 for the first mortgage as well as payments for taxes and insurances; and $489.21, representing the second mortgage payment. This figure includes an additional monthly expense of $390.00 for utilities. Ps have consistently maintained a gross yearly income level of $100,000.00. Mr. Durczynski earns a gross monthly income of 4,658.32; Mrs. Durczynski is a registered nurse, who earns a gross monthly income of $2,948.90. Ps claimed they only had $28.14 in excess income available each month to pay their unsecured creditors. D pointed out that Ps' expenses included a monthly allocation for food in the amount of $1,150.00, which is deemed to be excessive. D also pointed out that in the past Ps have received tax refunds -- i.e., $2,729.83 for 2007, $3,286.17 for 2008 -- which should be counted as income. D moved to dismiss the petition.