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Converting to 7 from 13; issues and questions

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    Converting to 7 from 13; issues and questions

    I am in Florida. I filed for Chap 13 5 years ago. I paid my plan religiously and never missed a payment to my trustee. My last payment was Nov. of 2006. To date (Oct 2007), my file has NOT been discharged. Apparently, the trustee found a "slight" increase in income on a previous tax return and is now demanding additional funds to be paid to my creditors. Since Nov of 2006, she has motioned for extensions to see if I pay the extra amount she is asking for. I simply cannot pay that amount. I paid what I paid, and I feel THAT was the plan. I simply do not have additional funds to pay into "another" plan, or new set of terms.

    I was advised by two separate attorneys to convert to a Chap 7 before the case is dismissed, thus causing ALL of my payments and efforts to have been nothing more than a waste of time and money. The problem lies in that I am receiving conflicting answers as to "what timeline is used to approve my conversion to Chap 7" in terms of assets/income etc.

    When I filed in 2001, my income was low and I had few assets. Today, I am gainfully employed and have possessions I do not want to part with and "some-what" of assets. I have rebounded and started my life again: married with two children and a nice home. My wife was never part of my original chap 13, by the way. We were not married at the time.

    One attorney says that the income and assets from "the time I filed" are used for the conversion to Chap 7; the other attorney states that the court will see "how I am today" in terms of relinquishing my possessions/assets in order to repay the creditors.

    I am lost. What is the straight answer in converting NOW to a Chap 7; pros/cons. I plan on asking the trustee to settle for a lower amount so I can be done with this nightmare, but in the event we don't strike a deal, I need to know how a conversion will affect my life TODAY.

    Thank you in advance for your answers.

    #2
    we just converted and they used the past 6 months not the statements from when we first filed 2 yrs ago

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      #3
      Originally posted by 99980000 View Post
      My last payment was Nov. of 2006. To date (Oct 2007), my file has NOT been discharged. Apparently, the trustee found a "slight" increase in income on a previous tax return and is now demanding additional funds to be paid to my creditors. Since Nov of 2006, she has motioned for extensions to see if I pay the extra amount she is asking for. .
      What is your original Ch 13 lawyer doing about this situation??
      I am not a lawyer and this is not legal advice nor a statement of the law - only a lawyer can provide those.

      06/01/06 - Filed Ch 13
      06/28/06 - 341 Meeting
      07/18/06 - Confirmation Hearing - not confirmed, 3 objections
      10/05/06 - Hearing to resolve 2 trustee objections
      01/24/07 - Judge dismisses mortgage company objection
      09/27/07 - Confirmed at last!
      06/10/11 - Trustee confirms all payments made
      08/10/11 - DISCHARGED !

      10/02/11 - CASE CLOSED
      Countdown: 60 months paid, 0 months to go

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