Converting case from Chapter 13 to Chapter 7
Really depends on why you filed chapter 13? Was it to pay mortgage or property tax arrears, car arrears or taxes? If you converted your case to a chapter 7 then those items are not dischargeable (assuming haven’t been paid in full) and you will be responsible for them. If your situation has changed since your chapter 13 plan was confirmed, you may be able to “modify” your plan to make it more feasible.
You still have to qualify under the "means test" for a chapter 7. In other words, if you filed a chapter 13 because your income is too high, you can not simply file a Chapter 13 then convert to Chapter 7 to escape the law. So, all the rules that apply to Chapter 7 debtor, applys to the converted case.
That means that any assets that were not exempt in Chapter 13 are subject to a Chapter 7 trustee's liquidation. You can always make an offer to "buy back" or redeem the non exempt item.
So, you really need to consult with your bankruptcy attorney about whether conversion or dismissal and re-filing is the best option.
/s/ Mark Lewis, Esquire