If you could not complete the payments for reasons that you should not “justly” be held accountable you may be eligible for a hardship discharge. It is also necessary to prove that the actual amounts paid out by the Chapter 13 Trustee is at least as much as in a Chapter 7 and that it is not practicable to modify the plan.
If you can prove these prongs up, then the judge may but is not required to give you a hardship discharge. A hardship discharge is not quite as broad as a Chapter 13 discharge, as debts not dischargeable in Chapters 7, 11, or 12 are not dischargeable in a Chapter 13 hardship discharge.
It is usually much better to get a hardship discharge if you cannot make the payments than converting to Chapter 7. A hardship discharge still counts as a Chapter 13 discharge for purposes, so if you refile a new Chapter 13 at least two years from the filing date of this case, or a Chapter 7 at least six years out you will be eligible for a discharge in the new case. Especially in Chapter 13 where most plans are at least three years long, a two year filing to filing waiting period is not much of a problem.
Additionally, if you have fallen behind on child support during the Chapter 13 you can still be eligible for a hardship discharge, as long as you still meet the standard.
