Moving from Chap 13---------to-Chapter 7

[ozzy866]

Our 13 didn't go so well. I ended up in the hospital for a total of about 3 months. We had income during this time but a lot going out in medical.
Our house payment has not been paid in 7 minths. We are working on the long process with Bank of America and a non profit company called NAPA to remodify our mortgage.
The 13 has bee dismissed and the 7 has been filied. Our 341 is in about 3 weeks.
We are waiting until mod is approved before continuing house payments-if it doesn't go throgh we will rent.
Here are some issues- we are starting to accumulate a little money in our checking $1000-$3000.
I don't want to get in any problems and want to deal with this properly.
Also for a Christmas bonus we received a $1000 non transferable gift card for a cruise. We booked something for late spring. My christmas bonus is usually cash and is listed on the 7 and 13 BK papers as amontjly small amount.
We will still need airfare to get there-I don't dare spend any money on anything like that right now. ($700)
We want to do this the right way.
What can we spend our checking on?
pay auto insurance for the year
Dental issues for wife and me
Dieting supplements (drinks) controls diabetees
House maintainence and repairs
11 year old truck, our only car that needs front end work.
Will the trustee see any problems here?
Oz

[keepmine]

Since you've alreadt filed, the issue likely isn't what you have now but, how much was in your account on the filing date and, was that amount at or below what your state exempts. This is a question to ask your lawyer.

[ozzy866]

we had around $700 is this exempt?

[keepmine]

we had around $700 is this exempt?

I don't know how much your state allows as an exemption.

[gunner01]

Hello Ozzy866,

We just converted as well from a 13 to a 7. I had the same concern regarding funds in our account. My attorney explained that funds in your account on the date of conversation is not a concern, just the date of your original filing for bk.

Are you including your house in the chapter 7? December is the first month in which we have not paid Bank of America. We are hoping to do a loan mod as well but, if they are unwilling to work with us then we will not being keeping the house and will include it in the chapter 7 bk.

Gunner01

[ozzy866]

Thanks...
We want to keep our home but are going on 8 months delinquent. The loan mod with Bank of America isn't going well. Fax and re-fax....over and over....
Our 341 is in 3 weeks.
We are over on the means test but lawyer says not to worry because all of my spending is documented well.
The stress is really getting to my family.
We are thinking of surrendering the house and calling it quits.
We are worried that forclosure is around the corner.