Inheritance ??

[chucksherm]

Very interesting stuff on this forum. I read a couple of things that got me thinking about something that I really have no involvement in but I became curious.
What if someone in a 13 aquired a car, boat, camper, whatever..either through an inheritance, saving and buying it, or a gift. Something like that would have to be registered with the Secretary of State. Would the trustee find out and take it away?

[HHM]

Well, if you are in a 13, it would be very difficult to actually save for something like that.

As to the other two scenarios. The trustee does not routinely (in fact, I have never heard of it being done) check state title records during the course of a chapter 13. Granted, you are under a legal duty to disclose events like this to the trustee, but the odds of the trustee finding out are slim.

[chucksherm]

Well, if you are in a 13, it would be very difficult to actually save for something like that.

As to the other two scenarios. The trustee does not routinely (in fact, I have never heard of it being done) check state title records during the course of a chapter 13. Granted, you are under a legal duty to disclose events like this to the trustee, but the odds of the trustee finding out are slim.

Thanks! I was just curious. What if someone got a side job to make a little extra money. They could put a new roof on their house, buy a new washer and dryer, fix the car or buy an outboard motor. What if someone saved a couple thousand $$ and bought an old car. Would the trustee want to know" Where'd you get the money?" or make you sell the car? I guess next time I talk to my lawyer, I'll ask him.

[HHM]

Many trustees will often review your tax returns and if they see an increase income from what you declared on your BK petition, the Trustee may investigate at that point.

You have to realize, by the letter of the law, you are under a continuous duty to turn over ALL disposable income during your chapter 13.

However,for practical reasons, trustees tend to let you carry out your confirmed plan. The success rate of chapter 13 plans is so low anyway (less than 40%), the trustees don't push the issue.

[chucksherm]

Many trustees will often review your tax returns and if they see an increase income from what your declared on your BK petition, the Trustee may investigate at that point.

You have to realize, by the letter of the law, you are under a continuous duty to turn over ALL disposable income during your chapter 13.

However,for practical reasons, trustees tend to let you carry out your confirmed plan. The success rate of chapter 13 plans is so low anyway (less than 40%), the trustees don't push the issue.

Please define 'success'. I'm not sure I understand.

[Scott50]

Please define 'success'. I'm not sure I understand.

the majority of people (roughly 60%) don't complete their three or five year Chapter 13 plans- they either convert to a Chapter 7 or get their cases dismissed due to non-payment.

[liz417]

...The success rate of chapter 13 plans is so low anyway (less than 40%), the trustees don't push the issue.

Oh, I didn't realize that the completion rate was so low!

[Pattie Smith]

We were confirmed Chapter 13 July 31, 2008, Texas Bankruptcy Court. My husband has been laid off from his job. I know we cant make the payment until he returns to work. Does anyone know anything about this situation? If so I would appreciate any input. Cant get the attorney to call me back. What happens if you dont make a payment?

[AngelinaCatHub]

Thanks! I was just curious. What if someone got a side job to make a little extra money. They could put a new roof on their house, buy a new washer and dryer, fix the car or buy an outboard motor. What if someone saved a couple thousand $$ and bought an old car. Would the trustee want to know" Where'd you get the money?" or make you sell the car? I guess next time I talk to my lawyer, I'll ask him.

[Pattie Smith]

Also, I asked the attorney about inheritance. She said after the first six months of our confirmation the court could not touch it.

[AngelinaCatHub]

We were confirmed Chapter 13 July 31, 2008, Texas Bankruptcy Court. My husband has been laid off from his job. I know we cant make the payment until he returns to work. Does anyone know anything about this situation? If so I would appreciate any input. Cant get the attorney to call me back. What happens if you dont make a payment?

[Pattie Smith]

Thank you Angelina I did call the trustee, I explained our situation to the lady who answered and she said just to pay whatever we can. She did not mention amending to Chapter 7, I do not understand and the attorney will not call or email back. There has to be some time frame for a Chapter 7 I would think. Said make an appointment to come to office. HELP