A Bankruptcy and Debt Relief Lawyer and Attorney Andy Miofsky

2249 Pontoon Road, Granite City Illinois 62040

An Illinois Bankruptcy Lawyer and Attorney 618-931-1313 Offering Chapter 7 and Chapter 13 Bankruptcy Attorney information in Madison, St Clair & Southern Illinois counties

Cases filed under one chapter of the bankruptcy code may be transferred or converted into another chapter of the code, provided that the debtor is eligible to be in that chapter.   Conversion may occur voluntarily or involuntarily. 

A voluntary conversion occurs when a debtor requests to proceed under a different chapter.  An example of this may occur if the debtor is unable to redeem or purchase assets back from the bankruptcy estate in a chapter 7 case, and requests to complete payment to the estate through payments over the course of a chapter 13 case.  Another example involves a chapter 7 debtor converting to chapter 13 in order to keep and pay for collateral securing a debt, or to pay on a claim that is not dischargeable in chapter 7.

A case may be involuntarily converted when a chapter 7 debtor is found to be ineligible for that chapter due to a finding of abuse - a finding that the debtor has sufficient disposable income to make payments on debt through a chapter 13 case.

A converted case operates within the same case and case number as originally filed, only under different rules of bankruptcy and with a different court appointed trustee.

An old law case filed before passage of the bankruptcy reform act, Bankruptcy Abuse Prevention and Consumer Protection Act of 2005, operates under the same older laws if converted from one chapter to another.  The newer law does not apply to a converted case that was originally filed before passage of that law.  The legal citation for this authority can be found in Title 15 USC Section 1501(b)(1).
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