Voluntary Dismissal Questions/May be a Different Situation

[jamesalip]

We are 24 months into a 5yr plan and we am considering a voluntary dismissal becasue we have nothing but unsecured debt left in our plan. However, 0% is supposed to go to the unsecureds. All of our secureds have been paid or we turned them in. That is what I have a question about. If we gave our car back to Ford Credit and included it with the bankriuptcy; what will they (Ford Credit) do? What will they report to the credit bureaus? We took the mortgage out of the plan becasue it was modified and have been making payments on everything with no problems. Any help would be appreciated.

[newbie2]

We are 24 months into a 5yr plan and we am considering a voluntary dismissal becasue we have nothing but unsecured debt left in our plan. However, 0% is supposed to go to the unsecureds. All of our secureds have been paid or we turned them in. That is what I have a question about. If we gave our car back to Ford Credit and included it with the bankriuptcy; what will they (Ford Credit) do? What will they report to the credit bureaus? We took the mortgage out of the plan becasue it was modified and have been making payments on everything with no problems. Any help would be appreciated.

Please reconsider having your case dismissed. Talk to your attorney about converting to a Chapter 7 instead if you can.

Once you dismiss all of your unsecured creditors can come after you (and they will) as well as Ford for any deficiency (if you gave them back the car).

[Flamingo]

You can't take a mortgage out of a Chapter 13 Plan. Even though your mortgage was modified and you are making the payment outside of your Plan, your mortgage is considered part of your Chapter 13 Plan and may show as such on your credit reports. Your attorney is the best source for any information on a voluntary dismissal since he/she knows your financial situation the best. I would suggest giving him/her a call to go over your Plan.

[SMinGA]

Dismissal means all the unsecureds can go after you. That includes adding back on interest & such, and the deficiency balance for the vehicle.

Consider amending your plan - if things have changed with your income/expenses. Or if things have changed drastically then a ch. 7 may be possible.

[jamesalip]

You can't take a mortgage out of a Chapter 13 Plan. Even though your mortgage was modified and you are making the payment outside of your Plan, your mortgage is considered part of your Chapter 13 Plan and may show as such on your credit reports. Your attorney is the best source for any information on a voluntary dismissal since he/she knows your financial situation the best. I would suggest giving him/her a call to go over your Plan.

The Stay was lifted and all the back amount owed was taken out of the bankruptcy. The Stay had to be lifted in order to do the modification. Either way, I am contactiing my attorney about a trustee modification that I received in the mail today. I am not sure what it means because there is nothing that states a new payment amount. I appreciate the information.

[BKchapter13]

All I can say is back interest will be re instated in those debts.. they can go as far back as when you first defaulted on your payments. Good luck, chap 13 is hard to get through, I feel for ya. Good luck