Help getting out

[bungarian]

My wife and I filed for chapter 13. We went to the creditors meeting and now have a comformation meeting on July 25th.

The good news is my wife after being out of work for a long time got a good paying job.

Now I can pay my bills and want to cancel the chapter 13. How do I go about this? Also how can I stop the payroll deductions from my paycheck since I assume I will never get this money back?

[lrprn]

Wonderful news about your wife's new job! Congratulations!

Now to your question - filing bankruptcy has very serious legal implications, so you won't be allowed to walk away like it never happened.

One option is to ask your lawyer to request a plan revision to include your wife's income and pay off your creditors at 100% over less than 60 months which also shows you completed your Ch 13 successfully - a good thing.

You can also request to have your case dismissed outright or just stop making payments to your trustee which will have the same result. However, all you owe plus late fees and penalties will come roaring back to pay, and your BK filing and case dismissal will remain on your credit reports for ten years into the future. Dismissal is definitely not a step to be taken lightly.

Talk with your lawyer about your options and please let us know what you decide to do. Good luck!

[Minnymouth]

YES,

Dismissal can be devastating also...... it still shows on your credit report PLUS then the creditors can come at you with full force............. lawsuits, garnishments, etc..... especially if you are behind from not making payments now.... Also they tac on all the fees, penalties, and your debt soars even higher.

My suggestion, have you plan revised, pay your plan off in 5 years and be debt free............. or at last pay on it for the 36 months before you do a complete payoff..... especially if you are only paying a % back.

Think of the money you will save in the long run...... and if you dismiss the case YOU'LL PAY EVEN MORE..............

Me, I'd stay in the plan.........

[bkbiker]

Hey bungarian,

You have gotten some good advice already,

My question is; what percentage payback are you making? how long is your plan for? How much unsecured debt do you have?

As stated chapter 13 dismissal stays on your credit report for 10 years verses discharge which stays on 7 years.

Only if your plan is for 100% payback would it be worthwhile to consider dismissal,

If you came into some real money, than you can always pay off the plan completely and receive a discharge.

Good luck,
bkbiker