Filing Chapter 13

[Rozi]

I have a question..... I am currently behind on my mortgage, HOA fees and my credit union loan which is tied into my car. Is it worth filing Chapter 13 to catch all of these things up? The credit card bills have already been charged off. I'm actually scared to file Chapter 13 because I am not sure if I could live to a strict budget and that I will have to be a in a five year plan and have my tax refunds taken away from me. What should I do? I already filed Chapter 7 back in 2011.

[justbroke]

If you're trying to save your home and/or vehicle, then a Chapter 13 may just be the thing. As you're learning, a Chapter 13 can "cure" past due payments and get the lenders off your back. As for your credit card debt, that would be discharged. If you do have all your credit products at one bank, a credit union (CU), understand that CUs like to cross-collateralize things which can make the process a little more... complex but not insurmountable. People do these Chapter 13s all the time with CUs and it's not an issue.

The affordability factor is one thing. If you can't afford to keep your home(s) and car(s) and feed yourself, then something has got to give. Hopefully you can obtain several free consultations and find an attorney that makes your comfortable and works with you on a budget that will work. Most people don't like the budget part (or refuse to budget at all), so a Chapter 13 would be a daunting undertaking for them.

Since you filed Chapter 7 back in 2011, your only option right now is a Chapter 13.