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Chapter 13

Posted on: 08th Sep, 2010 08:57 am
Hello I was wondering if you get money back from your creditors or car lenders if you file Chap 13?

I am thinking of filing and also would like to cram down the 2 car payments I have. Example interest on cars will be about 5% instead of the 10% I am currently paying.

Did the free consultation she said that I can file Chap 13 wipe out all debt and just pay the car payments.
Confused!
Hi jmanto41,

welcome to mortgagefit,

"I was wondering if you get money back from your creditors or car lenders if you file Chap 13?"

In reality chapter 13 is meant for hardship redress and not for earning money.What you said may be technically correct but not ethical.

If you wish to abuse the system by filing chapter 13 in order to earn money (sorry for being so straight forward) you may get it done by hook or crook.But it won't give you satisfaction at the heart.

Secondly if you are really facing the hardship and unable to pay the money then just forget what I have said earlier and you can file for chapter 13 and you will be awarded a structured repayment plan and once you stick to it,you will improve your score and will be able to get credit at lower interest rates.
DIPA
Posted on: 08th Sep, 2010 09:17 am
Hello thank you for responding..
I did the consultation and I remember the lawyer saying you might get some money back from your creditors but she was not clear on it.

I was just thinking if I cram down the car loan would I be able to get anything back if they change the interest from 10% to 5%?
I am paying 1 car loan of 14% $541 a month
2nd car is 10% at $460 a month
If I file it would be about $538 a month for 2 cars.
Posted on: 08th Sep, 2010 11:36 am
Hi Guest!

Welcome to forums!

As far as my knowledge is concerned, you won't get back money from your creditors if you file bankruptcy. Rather, you'll receive a payment plan from the creditors which will help you in paying off the loans.

Feel free to ask if you've further queries.

Sussane
Posted on: 08th Sep, 2010 11:06 pm
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