What do I need to do to switch from chapter 13 to chapter 7?

When the bankruptcy payments cannot be made because of a job loss, it's time to move to chapter 7. Switching from chapter 13 to chapter 7 has two requirements. The first is that there is a documented loss of income. Secondly is that the correct form must be filled out to petition the court for the change.

Filing Out the Means Test

Qualifying for the conversion requires filling out the means test for chapter 7. Being successful at qualifying under the means test means that the petitioner can now move into a chapter 7 for liquidation. A notice of conversion must be filed with the means test. There is a fee for filing, the amount of which will be posted on the local court district's website. After the notice has been filed, there will be a meeting set up with the trustee. At the meeting, the trustee will either approve or deny the request to convert to chapter 7.

Get Help From a Lawyer

if you don't already have a lawyer, it's time to hire one. Hiring an expert who knows how the process works will ensure a successful conversion. Making the change requires proving the fact that you do indeed need to convert. Your lawyer has the knowledge for preparing the paperwork properly, how and when to file it, and back you up at the meeting with the trustee.