C13 -- want out

[optmeout]

Plan filed 7/06
confirmed 1/07

Currently in month 46. We are finally seeing the light at the end of the tunnel but we are possibily looking at having to move. The land that we have our manufactured home located is on my parents' property. They are having financial/medical difficulties and may be facing foreclosure. That puts us in a bad situation.

We have not missed a payment (payroll deducted) to our plan and all secured debt is paid in full. Currently the plan has over $2000 cash on hand that I assume they will distribute to the unsecured debt at some point. Because we are finished with the secured debt, is there anyway we can get out of the bankruptcy at this point? We can definitely afford our mortgage but with the possibility of having to move I don't know if I want to keep paying it. I have recently finished by bachelors degree and secured a much higher paying job. The house needs lots of work and to be honest I don't know if it is worth moving it to another location or even worth the money we owe on it plus I want to start fresh.

Is there any hope for us? Can we stop the payments coming out of my husbands pay? What are the pentalties if we just stop making the payments to the plan? Or can we get an early discharge? Or do we simply just hope for the best and pray that it all works out for my parents?

[Flamingo]

Do not do anything until you speak with your attorney. Do not stop any plan or other payments. If you do your Plan will be dismissed and you will be right back at step one where you filed owing the creditors what you owed at that time, minus what you paid to them via the Plan, plus all interest and penalties accrued since your date of filing. NOT a good thing. You are so far into your Plan you do not want to jeopardize your situation now - call your attorney first thing Monday morning. Best of luck to you.

[HHM]

If you qualify for chapter 7, you may convert. If not, you need to stick to the plan. To be blunt, dismissing your plan now is like literally shooting yourself in the foot on mile 20 of a marathon.

You can make modifications to your plan to adjust for the move etc. But there is no way for you to get out that would put you in a better position short of qualifying and converting to a chapter 7.

[optmeout]

We do not qualify for Chapter 7 conversion. As a result of my recent promotion at work I am making $6 more an hour and has helped us immensely. I did not report this increase to the attorney because I read if it was beyond the 36 months in your plan there was no need.

I have an email into my attorney and hope to talk to him this week. My parents feel awful about us losing the land. Things happen for a reason and we will do what we have to do. It won't be pleasant.

[becky20]

Can't you just let your attorney know that you want to give up the house and then rent a place until you finish in 14 months? I agree, I definitely would do whatever you can to finish your plan!!

[Flamingo]

We do not qualify for Chapter 7 conversion. As a result of my recent promotion at work I am making $6 more an hour and has helped us immensely. I did not report this increase to the attorney because I read if it was beyond the 36 months in your plan there was no need.

I have an email into my attorney and hope to talk to him this week. My parents feel awful about us losing the land. Things happen for a reason and we will do what we have to do. It won't be pleasant.

Where did you read the above information? As soon as your income increased, you should have contacted your attorney and advised of the change. $6 more per hour is a big increase and not reporting it may be an issue...in any event, make sure your attorney is aware of that and all details of your situation. Now is not the time to hide anything. Best of luck to you...

[optmeout]

I have an appointment tomorrow evening with the attorney to discuss all of the above. Trust me the $6 more an hour comes with a $500 monthly school loan.

[newbie2]

I have an appointment tomorrow evening with the attorney to discuss all of the above. Trust me the $6 more an hour comes with a $500 monthly school loan.

Ouch. I hope that $500 per month isn't new debt since you started your 13 plan. Let us know how all of this works out for you.

[optmeout]

Ok I am feeling much better after my meeting with the attorney. Because my expenses have increased along with the $6 raise, he is submitting a new I & J (think that is what he called it). He doesn't believe it will change our payment at all. Until I see it, I won't believe it. He answered many of my questions but still don't know what we will do if my parents lose the property. He was nice enough to give me information for my parents and according to him it may be possible for them to file Chapter 13 to save their house (and ours).

Lots of scenarios running in my head -- but it is all dependent on the parents. They have a meeting on Friday to discuss their options. Thanks everyone for all the comments.