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I am 2 yrs into my chpt. 13 plan. I fell behind in my condo fees. Got letter to pay $4k in 30 days. Is payment plan an option?

Honolulu, HI |

My jobs have been mediocre until now. I am finally making great money as of May 31, 2013.

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Attorney answers 4


Talk to the creditor about entering into a APO, also called an Adequate Protection Order. Be sure to file any responsive pleading with the bankruptcy court right away once they bring a motion to lift stay so you can buy more time & make your argument to the court. Hope this perspective helps!


If you are now "making great money" it would be best not to get the court (and the Trustee) further involved in your case. The HOA is a long way from actually foreclosing ... try to work out a repayment plan with it (say, $500 of that great money per month for 8 months).


Despite the fact that my colleagues gave what seems to be contradictory advice, I agree with both of them. If you are now making significantly better income that when you filed your case, getting the court involved may result in the Trustee assigned to your case seeking to increase your plan payment based on your change in income so keeping the court out of your affairs is a good thing. You can probably work something out with the HOA or their attorneys which will allow you to cure the post petition HOA dues over six months to a year.

However, if the HOA files something called a Motion for Relief From the the Automatic Stay, then you need to make sure you file a response or they will be able to go forward with foreclosing on your house. If you file a response, you should be able to work out an arrangement with the HOA's attorney which will allow you to cure the arrearage through either direct payment to your HOA or through an additional amount to be added to your plan. Good luck.

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From a non bankruptcy perspective, the letter is primarily designed to encourage you to take the steps to bringing the association fees current. Don't hide from the issue and work out a plan to bring it current. Thats 99% of what the association wants. They want someone to pay their dues not to foreclose.