Mortgage Modification and Amended 13 Plan Approval Process: What To Expect?

[switch625]

It took forever (thanks to my lender), but I finally got a loan mod approved by my lender and my attorney recently filed the motion in BK court to get it approved. So what happens next? From my own research, the trustee will respond and say no objection to the mod, but since there is now more disposable income to pay into the plan (I'm not yet at 100%), the trustee will want us to file updated Schedules I and J and a revised plan. The loan mod will put me into a 100% plan, since the difference between old and new payments is more than what I need to be at 100%. So I'm asking if there will be any other forms to file other than what I listed in this post (I, J, amended plan)? Will the trustee quibble about expenses, even if I will now be at 100% payback (that includes trustee %, but not attorney fees)? how many continuations can I expect?

[justbroke]

It's usually simple. Your attorney files a motion to modify confirmed plan, and whatever schedules required in your District (Schedule I, J, Means Test). This appears that this is all known by the parties, so it should be done quite easily. I did a plan modification and didn't even need to show up because the Trustee's attorney and I had already talked. They just did the order and filed/served.

I can't say whether the Trustee will quibble about the new schedules and no one else can say. I did a plan modification in 21 days without a hearing. Your mileage may vary.

[switch625]

Thanks JB. I'll update as I move along because this board doesn't have a whole lot of posts on plan revisions, loan mods, though I could be wrong.

[justbroke]

From what I have read, only about 10% of Chapter 13 plans are ever modified. My plan was modified. They are usually quite simple and typically the debtor's attorney and Trustee work through things so that it's smooth and almost too easy. The difficulty only emerges when the Trustee does not agree with the new proposed plan and/or the new plan is just not feasible.

Thank you for offering to keep us up to date on the process. That would be very helpful for other members (and lurkers).

[switch625]

Filed a motion to approve the modification. No one filed an answer to the motion, not even the Trustee (so no request to file an amended plan or Schedules I or J). The loan modification was approved by the BK Court. The new attorney fees will come out of the plan.