Chapter 13 Motion to Dismiss Question/Advice

[jkim0907]

Hi guys- so here is my situation. I received a motion to dismiss because I am behind on some payments. I'm in my fifth and final year of the plan. The original plan show that I would have to pay back $48,000 over five years and I have paid 38,000 so far and have about six months before the end of the year when the five-year mark hits.

My monthly payment is $1,120 and I'm behind three months. This is the third time that I had a motion to dismiss on me. Just some tough stretches. it was modified twice. Went through a bunch of headaches and had to scrounge to try and catch up which I was able to previously. I'm getting a bonus (trustee allowed me to keep bonuses) at the end of August that would catch me up, but the motion is set for August 2nd. I have a new attorney since my old one decided to quit and gave my case to someone else.

I am thinking of just letting it dismiss at this point but before I do, I wanted some advice. The reason i am thinking of letting it dismiss is because my two biggest secured debts (car note for $10K and back taxes for $23K) have both been paid in full. It's just the unsecured items that are still not paid. On the 13datacenter site, all the unsecured items are showing that I owe $0.... My guess is once i lose the courts protection, they might come after me...which is fine if they do because I was thinking I might be able to work out payment plans with them. My question is If I do get dismissed, will I still owe any more money on my car note and the irs even though it says paid in full?

I am so close to the finish line but there's just no way I will be able to come up with $3k in two weeks (when the motion is to be heard).

i haven't called my attorney yet as it's Friday night and I got the notice in the mail today. But maybe someone here can shed some light for me? Sorry for the long winded message but I wanted to be as clear as possible.

thanks all !!!

[LadyInTheRed]

If the secured debts are paid in full, they are paid in full. But don't rely on 13datacenter to confirm they are paid in full. Don't give up so close to the end! Your attorney may be able to get the trustee to agree to continue the hearing to give you a chance to catch up.

[jkim0907]

Thanks LadyIntheBlack..

i guess im somewhat embarrassed that I'd have to ask a third time to either modify or request an extension. Im guessing it's happened in the past before?

playing a "worst case scenario" though, if i do get dismissed and what 13datacenter shows is accurate with regards to my secured / priority debts being paid in full... I won't have to repay any additional monies for the priority debts right? It would just be taking the risk of having those that were unsecured creditors try to come after me right?

you guys on this forum are great by the way...it gives sanity in an insane world!

[justbroke]

The real question with priority debts and secured debts, is whether they were reduced. If your car has an "unsecured" portion and/or your IRS debt has a "general unsecured" portion, then you would still be liable for those amounts. The sad part is that those could have accumulated interest over the life of your Chapter 13 and may be more than what was claimed (accrued interest).

Of course any other unsecured creditors would be able to claim all the accrued (but not charged) interest and then decide what they want to do. Most unsecured debt is sold to third parties like B-Line, B-Real, eCast Settlement, LVNV Funding and other junk debt buyers. They can be a pain in the rear end if you don't receive a discharge.