top Ad Widget

Collapse

Announcement

Collapse
No announcement yet.

Converting to Chapter 7 and Employment

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

    Converting to Chapter 7 and Employment

    Hi all,

    I was just past my 341 hearing when two days later I was laid off. My confirmation hearing is 10/8 and my lawyer is going to ask at that time for a conversion to Chapter 7 (or a continuance if my acceptance for unemployment compensation doesn't kick in by then- it should!). I understand I will have to have a new 341 but what I'm unclear of is when my employment status can change. I know at my 341 they asked if my employment status had changed, so at the Chapter 7 341, if I am employed at that time, will they reject my conversion?

    I was only getting the 13 because I have IRS debt.

    I am actively looking for work, but obviously I'd rather have the 7 and work with the IRS seperately once I am employed. At what point will it make a difference whether I am employed or not? I HATE!!!! not working, not just because of the money, just can't stand doing nothing. However, I hate to be locked into a 13 payment during a new job, when you don't know if it will work out or not.

    So, if anyone has a good idea of what the timeline is on when my employment status will affect the conversion, I'd appreciate it.

    #2
    I believe you can discharge IRS debt in a Chapter 7 just the same as in a chapter 13.

    Comment


      #3
      My understanding is that unless it's over 3 years old (it's not), IRS can't be discharged.

      Either way, the issue is about whether getting a job after 10/08 is going to affect my abiilty to convert to a 7.

      Comment


        #4
        Yea, you're right. I assumed it was over 3 years old, and just wanted to make sure you knew (and what I thought was correct too).

        I've heard most people say that if you wait until after your 341 you're ok. But some people say wait until the discharge, and some other people say you can accept a job the day after you file. I'm guessing wait until after 341 is probably fine. I'm in a similar situation. I am being laid off Oct. 31, and will be filing soon. And I want to be careful about how I time a new job (if I can get one). :-)

        Comment

        bottom Ad Widget

        Collapse
        Working...
        X