Q: I have 3 payments remaining in my Chapter 13 Bankrup. I rec'd an inheritance $18,000. Do I have to tell my lawyer?
I also have another debt consolidation from major bills, will this affect my Chapter 13 discharge?
A: If your repayment plan is less than 100%, you need to tell your lawyer. If it is 100% repayment plan, you don’t have to tell anyone as it is immaterial.
A: Absolutely you do. What you have received is called a "windfall." You should immediately notify your lawyer who should immediately notify the Trustee. The funds you received could have kept you from needing to file bankruptcy in the first place. Your creditors who are unsecured are only receiving 30% of what they are owed. Your "windfall" profits are sufficient to potentially give them 40-50% of what they're owed.
David Reese Fondren agrees with this answer
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