Chapter 13 dismissal: where does the money go?
Posted: Wed May 22, 2013 8:20 am
no absolute right to dismissal any more, so expect to have to have a hearing. if there are funds that should go to unsecured creditors, expect trustee to oppose dismissal and recommend conversion.
If dismissal granted, trustee gets a small fee and $ back to debtor (unlikely if there is money for creditors)
If converted, money given to chapter 7 trustee.
d
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On May 8, 2013, at 6:25 AM, Jason Wallach wrote:
> Chapter 13 case in LA, pre-confirmation and debtor is considering dismissal or conversion.
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> Trustee is holding
> 1. proceeds of the sale of the Debtors' homesteaded home last month and
> 2. $2000 of plan payments
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> If client dismisses the Chapter 13, what does Trustee do with the money in her account?
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> If client converts to Chapter 7, what does Trustee do with the money in her account?.
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> Jason Wallach
> jwallach@gladstonemichel.com
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The post was migrated from Yahoo.