7 - 13

[TFREE]

I filed a chapter 7 on everthing owed I then filed a chapter 13 just on my home. it was in the 7 but I filed the 13 to keep it. so here it is 18 mo later ive made all payments on time on the 13, just to get a call today saying that the trusty or bank figured the past payments wrong and need to amend it by 120 dollars per mo or dismiss the 13. so my question is does it refer back to the 7 since it was first part of it. and could i just walk away with a clean slate ?

[justbroke]

If you didn't reaffirm it in the Chapter 7, and selected surrender, and the debt was discharged, then you have no liability. What you're paying in the Chapter 13, in this case, is the arrears.

If you want, you could just walk away and be done. However, you should probably assess whether it is worth it, based on home values, to cure the arrears or not. This should be a clear-cut financial decision.

[TFREE]

So the 7 would prevail and the 13 would drop off my credit report?

[SMinGA]

Sorry, but no. It doesn't drop off until 7 years after filed. (7 for 13, 10 for ch. 7.) Dismissed or discharged, it remains.

So the 7 would prevail and the 13 would drop off my credit report?

[TFREE]

So the 13 is over if dismissed and i owe 0 to trusty?

[lrprn]

So the 13 is over if dismissed and i owe 0 to trusty?

No, the 13 is over when one of three things happen:
1. All your unsecured creditors have been paid 100% of what they claimed.
2. You make the specified total number of payments confirmed in your plan.
3. After three years of ontime payments, you arrange through your lawyer tosend the trustee an early pay-off amount that pays off 100% of what your creditors that filed claims said they were owed.

The only other way out of a 13 is to request a voluntary dismissal, but that restarts your debt clock back to when you filed and creditors can pile on the late fees and increase APRs as well. Dismissing a Ch 13 is almost always a big mistake that most people regret after doing it.

[TFREE]

If the home was in my 7 before the 13 i am free and clear of the house right?? Ps the house is all that is in the 13.

[justbroke]

If the home was in my 7 before the 13 i am free and clear of the house right?? Ps the house is all that is in the 13.

I answered this earlier. If the home was discharged in the Chapter 7, then it remains a discharged debt.

[TFREE]

Thanks justbroke I am just a little confused my lawer stated to me that i may have to keep paying the trusty if i give the house back. she said the payment could be as low as 100 per mo until the 5 years is up? to finish out the 13. this souds like BS it sounds like somone is getting paid out of that like my lawer ? is this true.

[justbroke]

Thanks justbroke I am just a little confused my lawer stated to me that i may have to keep paying the trusty if i give the house back. she said the payment could be as low as 100 per mo until the 5 years is up? to finish out the 13. this souds like BS it sounds like somone is getting paid out of that like my lawer ? is this true.

Doesn't sound right. You can always voluntarily dismiss a Chapter 13.