What happens if I lose my job?

Lots of things can happen while in a Chapter 13 plan. It’s not unusual for Chapter 13 debtors to need to modify their plans several times during the plan period when something happens to cause missed payments. If there’s a job loss we might wait to see if you’ll be employed again soon. We may ask the court to suspend plan payments until you’re employed again. If new employment isn’t obtained quickly we can ask the court to modify the plan to reduce plan payments. If the decrease in income is permanent or continues for an extended period of time we convert the case to Chapter 7.