[quote=Jacarandoso]]…People file chapter 13 and get a second that is not backed up by any equity wiped out on the basis that is is technically and unsecured loan do to no collateral?..[/quote]
Rus, a note secured by a 2nd or succeeding TD is technically backed up by “collateral,” even if there is no value there to support it.
Chapter 13 filers file under this program specifically to go on a monthly “repayment plan” overseen by a third party for ALL their debts (secured or unsecured). I believe that non-adherence to their repayment plan will get their Chapter 13 dismissed, in short order. When Chapter 13 filers are threatened with dismissal and they still want BK “protection,” they have no choice but to file under Chapter 7.
