convert to 7 questions

[Limitman]

I have been in my 13 now a year and a half. With uncertain job times for us all I was just wondering what would happen if I lost my job and had to convert to a 7. With unemployment compensation there is no way I could make my trustee payment and stay current on my house. I am in a 60 month plan. When I filed for 13 they looked at all my assets like my truck and various other things I owned. When you convert to 7 do they take into account the money you have already paid into the 13? So if my non exempt assets at the time of 13 equaled $15,000 and I have already paid $25,000 would they ignore the value of the assets? Obviously the value of the assets have depreciated over the last 1 1/2" years. I'm not hoping to lose my job and convert I was just thinking of a what if situtaion.

Mark

[lrprn]

I have been in my 13 now a year and a half. With uncertain job times for us all I was just wondering what would happen if I lost my job and had to convert to a 7.

It depends on how your plan is structured. Are you paying off mortgage arrears? Hoping to strip a second mortgage? Paying back IRS taxes?

When you convert to 7 do they take into account the money you have already paid into the 13? .... I was just thinking of a what if situtaion.

That's the challenge with a hypothetical situation. We don't have enough information to answer the question for your unique circumstances.

Converting from a confirmed 13 to a 7 compared to voluntarily dismissing your 13 and then filing a fresh 7 work differently. Which one were you thinking about doing?

[Limitman]

Well, no mortgage arrears, my truck was my only secured debt in the plan and that is paid off now. My house I pay outside the plan. Basically all remaining debt is to unsecured. There was a $300 city tax bill but that got paid right away. The lawyer fees have all been paid through plan but they are paid off. There were a couple of creditors that never filed a claim. Originally I was at a 57% payback but now I am at 87% to the creditors that filed claims. I'm not sure how converting from 13 to 7 would be or volunteering to dismiss my 13 then file for 7 would be? Which would be best?