New here; frustrated and lost.

[karrieh]

Hi all so my husband and I filed a little over a year ago didn't qualify for chapter 7 so ended up in a chapter 13. Well things have changed since then I lost my job about 6 months ago and we added a child about 4 months ago. My husband has the same job and same salary as he did when we filed.

We owe aprox $4000 on our mortgage that got rolled into our bk. Now the problem is that my husbands car and work truck are broken down (he has to travel 6hrs to work once a week and he comes home on the weekends)

I contacted our attorney about converting and he gave me a whole lot of scare tactics and no good information. I think that he is more interested in us being in our bk so he can make his money off of us, than what is actually good for us (not that I would expect him to)

So in any case we have our tax return that I requested we be able to use to either fix or get a new car because without that no one is getting paid as my husband won't make it to work. He told me well I can't tell you no and I can't tell you yes.....then he said any modification you want to make to your plan I have to file an amendment then that will cost you an additional 2,000 and you have to go through the whole court hearing and provide all new paper work. And he meant anything we do keeping our tax return, requesting payment be lowered, missing a few payments ect...

Then I asked about chapter 7 and he told me that our cars (one does still work and we NEED it) would be repossessed unless we made up the payments for the time we have been in bk and that the money on our mortgage would be due immediately or they would foreclose on us. I am really not sure what to do, I have contacted a different lawyer but haven't heard back.

Sorry about the novel but any advice anyone has would be great.

[AngelinaCat]

Hi karrie: Welcome to the forum. I adjusted your post here so that it would be easier to read.

I have contacted one of our Moderators who specializes in Ch13s to see what she may be able to offer you as suggestions.

Good wishes to you!

[lrprn]

Unfortunately most bk lawyers in your area will be reluctant or will refuse to talk to you now since you already have retained another bk lawyer and filed.

Go back and take a good look at the contract you signed when you retained your current lawyer. $2000 is a hefty fee to pay just for your lawyer to amend an already filed Ch 13 plan by changing around a few numbers and then cost you $2000 more to send a letter to the trustee justifying why you want to keep your tax refund.

The key is how your changed financial and asset circumstances will impact the Means Test and your disposable income calculations if you amend your plan. It sounds like with your job loss and a new dependent to increase your family size, you could qualify for Ch 7. Your lawyer is correct that if you have arrears on your house or car payments that are not paid in full on Ch 7 conversion day, your lenders could decide to go after the cars or the house. Ch 13 allows arrears on filing day, Ch 7 does not.

Consider starting by making a face-to-face appointment with your current lawyer. Lay out all the changes in your finances. Show how your disposable income has changed. Explain clearly that continuing on the current Ch 13 plan is not possible. Ask about converting your Ch 13 to Ch 7 and see what he/she says.

If you don't like what you hear, then you really have two choices. Pay the lawyer you have to amend your Ch 13 plan or convert it to Ch 7, or fire your current lawyer and find a new one. If you can amend your Ch 13 or qualify to file Ch 7, paying a new lawyer $2000 rather than giving it to your current lawyer who does not seem to be anxious to get you everything he/she can could make sense in your situation.

However, starting with a new lawyer at this point has its own disadvantages. You have to pay the new lawyer's retainer plus usually a bit more because the new lawyer will have to clean up whatever the old one left.

Only you can decide what's going to work best for you. Keep asking questions - we'll help you sort things out as best we can. Hang in there!

[karrieh]

Thank you.

[karrieh]

Well he is the ONLY bk attorney in this area, the one I contacted a friend who used the same initial guy as us and got the same sorta story called this lady and she helped them a lot and got them converted and saved their house and cars. So we will see I hope she calls back and agrees to take the case, I am tired of the current guy and his pussy footing around the questions, I just want some straight forward advice even if I don't like it at least I know the reality. But if we don't get another car it won't matter anyway cause no one will be getting paid and we will end up defaulting on the plan and getting kicked out (which I really hope doesn't happen)

[holycowe]

Hi Karrieh,
There are many bk attys in vegas (assuming you are here).
Sounds like you got one of the mill operate atty (don't tell me they are H&K).
Im still doing my home work. Will fill a little complecated 13 in next couple month. Already retained an atty last week. The good thing is I found this forum before I do anything.