If you have a desire to try and keep your home and your car you should have filed a chapter 13 case. The chapter 13 would have allowed you an opportunity to come up with a plan to repay the secured debt that you wanted to maintain (house and car). If you stop paying your mortgage and stop making payments on your car then your creditors will foreclose and/or repossess the collateral securing the debt once the automatic stay is lifted.
If you simply want to let the house and car go, then you can surrender these items in your chapter 7 case and move on. Any remaining deficiency balances will be discharged once the chapter 7 case is complete if you surrender these items back to the creditor. However, you will not be able to discharge secured debts and maintain the collateral securing the debt. You have to choose which best fits your current financial situation (surrender the property and discharge the debt OR maintain the property and repay the debt).
Below is some general information on chapter 7 and chapter 13 bankruptcy cases. This should give you a little more information regarding the two types of bankruptcy case filings. You may want to consult with your attorney regarding converting your case to a chapter 13.
Chapter 7 - Chapter 7 bankruptcy is a liquidation proceeding available to consumers and businesses. Those assets of a debtor that are not exempt from creditors are collected and liquidated (reduced to money), and the proceeds are distributed to creditors. A consumer debtor receives a complete discharge from debt under Chapter 7, except for certain debts that are prohibited from discharge by the Bankruptcy Code.
Chapter 13 - often called wage-earner bankruptcy, is used primarily by individual consumers to reorganize their financial affairs under a repayment plan that must be completed within three or five years. To be eligible for Chapter 13 relief, a consumer must have regular income and may not have more than a certain amount of debt, as set forth in the Bankruptcy Code. You can usually keep your property, but you must earn wages or have some other source of regular income and you must agree to pay part of your income to your creditors. The court must approve your repayment plan and your budget. A trustee is appointed and will collect the payments from you, pay your creditors, and make sure you live up to the terms of your repayment plan.
I hope you found this information helpful.
I am not sure of your attorneys reason for listing in your schedules that you intend to retain the property if it is indeed your desire to surrender your interest in the items. However, if you have not received your discharge order and your case has not yet been closed, you still have time to amend your Statement of Inentions to reflect your true desire to surrender the property and discharge the debt.
The sooner the amendment is made the better. If you can not get in contact with your attorney, I would suggest either retaining new counsel or filing an amended Statement of Intentions on your own with the bankruptcy court clerk. Either way, you still have time to amend the Statement of Inention, if the discharge order has not been entered and the case has not yet been closed.
If you are unsure of your case status and still are unable to reach your attorney, you can contact your trustee's office or the bankruptcy court clerk. Either of them will be able to let you know the current status of your case.
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