Q: Is there precedence for splitting a recently filed Ch. 13 Bankruptcy into a Ch. 20 - Separate 7 & 13 Cases?.
A:
Chapter 20s were eliminated supposedly by the Bankruptcy Abuse Prevention & Consumer Protection Act. What this means is that a debtor can no longer file a chapter 7 bankruptcy and get discharge and then file a chapter 13 and get a discharge.
Debtors can still do the chapter "20" (a chapter 7 followed by a chapter 13) but they cannot get a discharge under the 13.
I have never heard of a debtor "splitting" a case. The chapter 20 is where debtors qualify and can file the 7 first and get some debt discharged and then use the chapter 13 provisions to get some relief with regard to mortgage arrears or a car loan.
If a debtor filed the chapter 13 it either means that the debtor was trying to save a home that was in arrears, or the debtor earned too much income for a chapter 7 or else the debtor had more assets than are allowed under the exemptions.
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