If your income goes up during a Chapter 13 bankruptcy, it may affect your Chapter 13 plan in a few different ways:
- Plan modification: If your income increase is significant and permanent, the bankruptcy court may require you to modify your Chapter 13 plan to pay more to your creditors. This could mean increasing your monthly payments or extending the length of your plan.
- Plan completion: If your income increase allows you to pay off your debt faster, you may be able to complete your Chapter 13 plan sooner.
- Discharge: If you successfully complete your Chapter 13 plan, you will receive a discharge of your remaining unsecured debt, regardless of any changes in your income.
It is important to inform the bankruptcy court of any changes in your income, as failure to do so could result in the court dismissing your case. Your bankruptcy attorney can advise you on how an increase in income may affect your Chapter 13 bankruptcy and what steps you need to take.