Chapter 13

[victmich]

What is the name of your state?Tx

My husband and I have been in chapter 13 for a little over a year now. I was just wondering in the event of one of us passing away is the survivng spouse still responsible for the entire payment? And what about possesions that we have that are in one persons name only such as vehicles, the home etc.? Since we are both putting our money towards the 13 is it automatically both of ours or would it become part of the particular persons estate?

Thanks in advance.

 

[Ladynred]

With both of you now contributing to the plan payments, if one of you should pass away, I would assume the payments would be too much for just the one person, correct ?

In that case, the surviving spouse could either have the Ch 13 plan modified to reflect the reduction to a single-income, or it might even make converting to a CH 7 necessary (or more likely).

Ch 13 protects assets, I can't see where there would be any change in that UNLESS it was necessary to go to Ch 7.

 

[julbug66]

discharge possible

that all depends on how much you've paid so far, how much there is left in the plan to pay, and on whether or not your creditors have received as much from you as they would have if you had filed Chap 7. in the event that one of you passes, the court might grant you a hardship discharge if you've paid enough into the plan (i.e. would the creditors have gotten as much from you as they would have in a Cha 7?)