What to do

[meetsv]

About a year ago, I was planning to file chapter 13, the few lawyers I spoke with stated that we did not qualify for a chapter 7. The chapter 13 was basically a 100% payback, so we decided to make payments arrangement with the creditors. However, they did not change anything on the credit report, they still reporting the account as of charge off. My question is, should I stop paying them and wait until one of them sue me? or keep paying them.

Thank you.

[october99]

Did you make payment arrangements with the OC or CA? If you are paying the CA and the OC is reporting a CO on you CR, then the reporting would be correct. I have heard of settlement arrangements for removal of TL on CR for payoff, but it doesn't sound like you did that.

If you are paying the OC then you should be able to dispute the CO on your credit reports to something like paying as agreed.

[GoingDown]

The charge off will remain on your credit report for 7 years whether you pay them or not.

They can not and will not remove it.

Since you don't qualify for a Chapter 7, you have to decide whether it is better to do the 100% Chapter 13 plan where you know the debts will eventually get paid off and the creditors will be kept at bay by the court, or whether you want to keep screwing around with these creditors, making partial payments which get eaten up by the late fees and interest charges, for many years after a Chapter 13 plan would be finished.

I think you would be better off just doing the Chapter 13 and getting this all behind you.