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Bankruptcy Law/we want out of Bankruptcy

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Expert: - 4/7/2010


Question
We have been in chapter 13 bankrupcty for 2 1/2 years and we want out.we have fallen behind about 12 months and it's because they said we had to pay this amount and after we paid it they sent us a letter saying that that was the wrong amount and then we had to pay a different amount so we got behind because of that and then my husband had a seizure and was in the hospital and i lost my job so we fell behind.So now he is back to work but we need to get out and get caught up so we can keep our home and we don't no who to go to we have been calling everyone and they can't help us . What do we do ?

Answer

Leon Bayer
I am so very sorry that you are enduring so many different hardships. I am glad to hear that your husband has recovered and been able to go back to work.

You are entitled to dismiss the Chapter 13 any time you wish. However doing so means that you give up the court protection from creditors that you have have had for the past several years. You might even lose your home faster outside of bankruptcy than inside of it.

I can't give a recommendation to you without reviewing all of the court records and having an in person meeting. I'm sorry, but your question is not the kind of issue that can be answered via e-mail.

You don't say whether or not you have a lawyer. An experienced Chapter 13 lawyer might be able to get you out of this problem. I suggest you get the names of several Chapter 13 lawyers and get appointments with them right away for consultations. The best way to find out if you have any options is by meeting with lawyers in person. Calling them on the phone to ask about it is not likely to get you anywhere. Be prepared that a lawyer might ask for a fee to review the records of the case.  

One idea I have for you is that if you have a retirement plan at your job, it might be possible for you to borrow from it and get the money you need to save your house.

I hope things work out and get cleared up for you real quickly.

Los Angeles Bankruptcy Lawyer Leon D. Bayer

Expertise

Leon Bayer has successfully represented clients in bankruptcy for over 30 years. He is frequently called upon by the media, the California Bar and other associations to provide insight and help educate attorneys on bankruptcy issues. If you or other readers want to keep up with my blog postings about life in and out of bankruptcy, you can follow my blog at http://www.bankruptcyblogger.org/ and my personal web site at http://www.debt-relief-bankruptcy.com and A Human Guide to Bankruptcy at http://www.thebankruptcyguide.net/ Leon also writes about bankruptcy law for Nolo, see http://www.nolo.com/law-authors/leon-bayer.html and his "Ask Leon" bankruptcy law blog column at http://blog.nolo.com/bankruptcy/

Experience

Leon is a Certified Specialist in Bankruptcy Law by the State Bar of California, and has been a practicing bankruptcy lawyer in Los Angeles, California for 33 years.

Organizations
National Association of Consumer Bankruptcy Lawyers, California Bar Association, Los Angeles County Bar Association.

Publications
Author, ?The Essentials Of Chapter 13,? Daily Journal Report, December 18, 1987.
Contributing Editor, Basic Bankruptcy, California Practice Handbook, Matthew Bender 1992, 1993.
CEB Consultant, CEB-Personal and Small Business Bankruptcy Practice in California, 2003.


Education/Credentials
B.A., J.D.

Awards and Honors
President, 1995-1996-Los Angeles Bankruptcy Forum; Member - Los Angeles County Bar Association Committee on Commercial Law & Bankruptcy, 1988. Law Advisory
Commission-Personal & Small Business Bankruptcy Law of the State Bar of California, 1996-2000

MR. BAYER SAYS: The big banks and credit card companys have been working overtime for many years to undermine the Consitutional right of the American people to be able to claim bankruptcy protection. In 2005 the banking lobby successfully convinced Congress and the President to make the laws and proceedures more complicated, hopeing that it will stymie legitimate people from filing bankruptcy. They succeeded in gaining these complex new legal proceedures by greasing the legislative system with hundreds of millions of dollars in "campaign contributions." The good news for the American people is that while the new laws have made the proceedures needlessly complex to the point where inexperienced people can't help but trip over the maze of new rules and regulations, the process is still doable, especially with a lawyer who is well trained and experienced in this specialty.

Past/Present Clients
I have probably handled something on the order of about 15,000 bankruptcy cases thropughout my career.

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