World of hurt! Need some advice

[JohnQ123]

Hello,
I am 4 years into a 5 years 13 Plan. I've gotten a large amount of unsecured credit in the last year - not approved by the court as my attorney said as long as I plan to not include it , I don't have to get approval. I just got a large tax bill from an audit and now debt is pilling up. Do I have options to leverage the almost complete plan to add any debts in - I also have student loans kicking in soon. I didn't abuse credit, it just hit me like a train. I used credit for home repairs and medical bills. I have a junior lien strip pending in my 13, so I don't think converting to a 7 is doable without preserving it.

[TheBajan]

Wow... I am so sorry to hear this. I'm sure others with more knowledge will pipe in here but as to your question regarding adding your current debt to the BK, I'm 99% sure you cannot do that. Any debt incurred after filing is not covered in the BK. You are so close to finishing I would pretty much do EVERYTHING POSSIBLE to finish. Deal with this new debt separately but at all costs, finish the BK.

Again, I wish I had better news but I know others will come along who are smarter than I am about this.

Best regards,

[AngelinaCat]

Welcome to the Forum.

But with that said, you probably will not be happy with what I have to say.

You need to go back to your attorney and confess all. You took on a whole lot of debt that you should not have. Why the attorney told you that you could do so, I have no idea. But it is my understanding that a Chapter 13 is an enforced budget plan that you must abide by via court order. And it is my understanding that taking on ANY kind of new debt, must be approved by the trustee.

My best~~

[TheBajan]

AC, this is also how it was explained to us. We are not permitted to take on any debt while in our 13 without permission. The limits and specifics are spelled out the plan.

[dmc-2008]

Hello, can I just say that you post scares me and makes me so sad! I am worried that your case will get dismissed and then things will set really bad. I think if they dismiss a lien strip case you will owe all the back interests. It could get really ugly.

I am only allowed 500.00 and I never have a balance over that so that each statement proves I am in compliance.

I am sorry you are in this position, pls let us know if your atty can help you .