Can I change from chapter 13 to 7 and still keep my house and car? 12 Answers as of May 30, 2013

I live in Va, while in a chapter13 and delinquent in mortgage, can I convert to a 7 and still keep my house and car?

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Indianapolis Bankruptcy Law Office of Eric C. Lewis
Indianapolis Bankruptcy Law Office of Eric C. Lewis | Eric Lewis
Chapter 7 does nothing to help with delinquent mortgage debt.
Answer Applies to: Indiana
Replied: 4/4/2012
Mauritz Van Niekerk, Attorneys at Law
Mauritz Van Niekerk, Attorneys at Law | Christiaan van Niekerk
Yes.
Answer Applies to: New York
Replied: 5/30/2013
The Law Office of Marvin Wolf
The Law Office of Marvin Wolf | Marvin Wolf
A person who lives in Virginia should not post in a New Jersey forum.
Answer Applies to: New Jersey
Replied: 5/30/2013
Law Office of Lynnmarie A. Johnson
Law Office of Lynnmarie A. Johnson | Lynnmarie Johnson
If you convert and want to keep your house and car, all payments must immediately be brought current or the creditor can ask that the stay be lifted and they be allowed to repossess the car and foreclose on your house. That is according to Michigan law, the foreclosure rules may be different in Virginia. See a bankruptcy attorney before you make the decision to convert and find out what your options are in your state.
Answer Applies to: Michigan
Replied: 3/29/2012
Janet A. Lawson Bankruptcy Attorney
Janet A. Lawson Bankruptcy Attorney | Janet Lawson
Not sure why I'm getting out of state question, I am not licensed to practice law in Virginia. Generally speaking, that can be done BUT - I do not know what the issues are in the CH13 case. If you were behind in the mortgage payments and car payments, and still are, that could be a problem when you convert as ch7 does not provide the means to catch up. You need to consult with a local lawyer.
Answer Applies to: California
Replied: 3/29/2012
    Diefer Law Group, P.C.
    Diefer Law Group, P.C. | Abel Fernandez
    You can covert the case, but if there are arrears that you are paying through the plan you need to pay those in order to keep the home and car.
    Answer Applies to: California
    Replied: 3/29/2012
    Law Office of Asaph Abrams
    Law Office of Asaph Abrams | Asaph Abrams
    Secured creditors can ultimately repossess or foreclose if the debt's not paid. Chapter 13 provides the framework for catching up on arrears and keeping property that you could otherwise not afford; in chapter 7, you're on your own in negotiating the delinquency; pursuant to termination of the automatic stay, there's no bankruptcy protection: you have to pay the debt. This answer (by San Diego bankruptcy attorney, Asaph Abrams) doesn't address all facts & implications of the question; it's general info, not legal advice to be relied upon. It creates no attorney-client relationship; it may be pertinent to CA and/or its Southern District Bankruptcy Court only, and it's independent of other answers. It may be time sensitive, as in past the "Use by" date: laws and case law change. Hire legal counsel before acting or refraining from bankruptcy/legal action.
    Answer Applies to: California
    Replied: 3/29/2012
    The Schreiber Law Firm
    The Schreiber Law Firm | Jeffrey D. Schreiber
    Not if the payments are not current or you do not have a loan modification. A bankruptcy does not remove a lien, so if you are behind or do not otherwise make arrangements agreeable to the lender, they can foreclose.
    Answer Applies to: California
    Replied: 3/29/2012
    The Law Office of Darren Aronow, PC
    The Law Office of Darren Aronow, PC | Darren Aronow
    If you are exempt, than those assets will not be seized but it will not fix the default on your mortgage and the lender will still have the right to foreclose.
    Answer Applies to: New York
    Replied: 3/29/2012
    Bird & VanDyke, Inc.
    Bird & VanDyke, Inc. | David VanDyke
    The reason you probably filed a chapter 13 was to pay off the home loan arrears through the chapter 13 plan. If you are not current on your first mortgage and you convert to a chapter 7 the home loan lender will probably foreclose unless you can pay all the back payments in a lump sum or make some other arrangement with them. Also if you were stripping a second lien in your chapter13 plan and you convert to a 7 you will discharge the loan but the second loan lien will remain on your home.
    Answer Applies to: California
    Replied: 3/29/2012
    T.K. Byrne | Timothy K. Byrne
    As long as your creditors agree and you ca nmake the payments, otherwise no.
    Answer Applies to: Mississippi
    Replied: 3/29/2012
    AyerHoffman, LLP
    AyerHoffman, LLP | David C. Ayer
    You should consult with your bankruptcy attorney about the specifics of your situation. What assets you will be able to retain in a Chapter 7 will depend largely on your overall assets, including income. There may be state exemptions which are more generous in these areas than federal exemptions. It is possible to keep these assets depending on the equity you have in them and your ability to continue to pay any loans on them.
    Answer Applies to: Massachusetts
    Replied: 3/29/2012
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