Do you think its ok?

[jessegirl]

chapter 7 to dismiss the CC's and 2nd mortgage and then the 13 after that to strip the lein.

[keepmine]

What you are describing is a "Chapter 20" and bk reform was supposed to eliminate that pratice. Did you ask your lawyer for some caselaw that supports this theory? Did you interview more than 1 lawyer and if so did others make the same recomendation?
Keep us posted. It'll be nice if it works that way-a lot of our members could be helped.
I've seen a few cases where people filed a 7 and then a 13 because, they were in arrears on secured debt and since they were paying back at 100% they still got the protection of a 13-just no discharge.

[jessegirl]

I had 2 attorneys say that it can be done. I guess I will talk to him about it again. But I have had 3 meetings with him and each meeting he says this is what we will do. I did ask if that can defiantely be done and he says yes, he does it all the time. I guess we will see.

[biotechsolution]

I had 2 attorneys say that it can be done. I guess I will talk to him about it again. But I have had 3 meetings with him and each meeting he says this is what we will do. I did ask if that can defiantely be done and he says yes, he does it all the time. I guess we will see.

check with you attorney again because you can't get a chapter 20 after the bk reform. technically you can but keepmine is right you would have to payback 100%. Or wait so many years and file a chapter 13.

The days of the old chapter 20 are gone.

[biotechsolution]

I had 2 attorneys say that it can be done. I guess I will talk to him about it again. But I have had 3 meetings with him and each meeting he says this is what we will do. I did ask if that can defiantely be done and he says yes, he does it all the time. I guess we will see.

You cannot receive a discharge in a Chapter 13 case if you received either:

A discharge in a prior case under Chapter 7, 11 or 12 that was filed within four years of the current Chapter 13
A Chapter 13 discharge in a case filed within two years of filing the current Chapter 13

However, a Chapter 20 filing may be available to you under the above rules. A Chapter 20 filing is a Chapter 7 case to eliminate unsecured debt followed by a Chapter 13 case to allow mortgage arrearages to be remedied, etc. The reason it may be available under the above rules is the goal of the Chapter 13 follow-up case is usually to repay a mortgage debt and not to get a discharge from that debt.

[jessegirl]

My attorney told me this:
We will file a chapter 7 to discharge your debt incl. the equity loan. The equity loan creditor will then lein against my house. after the chapter 7 is discharged he said to stop paying on the 1st mortgage so that we can do a chapter 13. After the chapter 7 is done, we will go into a chapr 13 for the 1st mortgage payment that are inaears and we will strip the second off at that time. Does that make any sense? am not sure where the chapter 20 came from? I never mentioned a chapter 20 someone else mentioned it. Am I making sense with this? Is it even possible or is he peeing on my leg and telling me its raining..

[GreenInkOnPaper]

Ch 7
Ch 13
7+13=20
Ch 20

[jessegirl]

So can it be done? Or is my attorney wrong?

[biotechsolution]

your attorney is using reasoning under the old bankruptcy rules. You cannot file a 13 after a 7 and get a discharge of debt. You can only file the 13 to catch up on arrears and repay at 100% the debt.

If you have 1st and 2nd mortgage you can only lien strip in a chapter 13. You can't file a 7 to discharge all unsecured debt, then file again just to strip the 2nd lien from your mortgage by making it unsecured because you would be then getting a discharge. Under the new bankruptcy rules you cannot receive a discharge in a chapter 13 unless it is 4 years after a discharge in a chapter 7.

If it's sounds too good to be true.........

[jessegirl]

Well thats great! Now i need to call him and find out what the hell he is thinking. Ya know, you hire attorneys so that we get it done right and then i come to find out that he is wrong. I will give him a call tonight. I am getting sick to my stomach now..... thanks for the info.