Closing proedures help!

[GUYINA13]

Good Day All,

I have somewhat made it to the end of the 60-month Chapter 13 journey here in Illinois, but now am stressed out about the closing procedures.

After doing a ton of research on this site and others - I was prepared ( I thought) in what was going to happen next.

As far as my responsibilities left, I was under the impression that I had just one form left to fill out - something about child support declaration

But my attorney sent me a "verification of compliance with debtor's duties and obligations regarding disclosure of property of the estate" to fill out

This form looks like something you would fill out at the beginning not the end of your case and there is nothing about child support in it - I am wondering if my attorney is confused? It basically is just me promising that all my schedules were reported accurately and that I haven't hid any inheritances or am not due any lawsuit settlements.

Also the Trustee said at the beginning of the case that as soon as he got all monies owed, the wage order would be stopped by the court - ( I made my last payment on June 24 and I checked Pacer and there has been no activity on my case since March or April per Pacer. So if the court doesn't get notification that my plan is paid, then how are they going to be able to stop the wage order, which is still currently taking out a payment every two weeks?

So I have understood that the actual closing and discharge was going to take months after the final payment had been made, but what about the wage order - should I be pushing that with someone? I feel like that should stop pretty quickly since I have paid every dollar into the plan that was owed.

Also from following NDC regularly about my case this past 5 years, I noticed the trustee's office only makes payments to creditors at the end of each month. My final payment which brought my balance to 0 was made on June 24, but that 300 dollars didn't get dispersed out to the creditors at the end of June. Is the trustee going to wait until the end of July then to make that final distribution and then wait to start closing my case, even though my case passed the 5 year mark at the end of June?

I swear this stuff is stressing me out- it took everything I had to finish this plan, now it feels like rules don't apply to the other side, its just we will get to things whenever we feel like it.

[brokenurse]

This is kind of where I am too. By my math (adding up all the Principal Owed on each claim in NDC) they have more than enough from my June 30th paycheck to cover the remaining balances in my plan, but NDC doesn't show that payment has even posted yet. I reached out to my payroll department and he said they have not received anything to stop my wage order. Pacer is still showing Active. My 5 year anniversary was at the end of June too. I'm just ready for this to be over and I'll be really upset if they take from my pay next week even though all claims will have been paid off.

[GUYINA13]

This is kind of where I am too. By my math (adding up all the Principal Owed on each claim in NDC) they have more than enough from my June 30th paycheck to cover the remaining balances in my plan, but NDC doesn't show that payment has even posted yet. I reached out to my payroll department and he said they have not received anything to stop my wage order. Pacer is still showing Active. My 5 year anniversary was at the end of June too. I'm just ready for this to be over and I'll be really upset if they take from my pay next week even though all claims will have been paid off.

Hey broke nurse,

Sorry you are going through this as well.

I did not think this would be a quick process and as far as the discharge goes, I know that we are probably both at least a month-plus out from that even being in the realm of happening.

But the wage order I feel like should be stopped not long after you have made final payment.

My trustee warned us at the beginning of the case that even after the court issues the wage order to be stopped to your employer that it could still take several pay checks before it actually goes into effect (funny it didn't take payroll anytime to begin the wage order garnishment five years ago)

But I don't even think there is any action being made to notify the court of that all payments have been made, so that is where my frustration is.

In my case, I just got my first paycheck from work (post-bankkruptcy 60 months) and they are still garnishing out money for a payment to the trustee.

If I see the trustee take out a fee for that payment I am going to be pissed.

Anyway hopefully all works out well for you!

[Carlybean]

I am in the same boat with both of you in this hurry up and wait game. I made my last payment in June and NDC shows principal paid and base plan amount as exactly the same but the disbursements to creditors has not been made. In fact I had even made an extra payment. It does show in NDC that my trustee retired and a new one has taken his place. It also shows as active and about to complete in 1 month. I have always been fearful to contact my trustee and never really needed to but on NDC it shows my trustee as a participant in 13network which from what I have read gives a little bit more updated info but it said to contact the trustee for access which I did. The person at the trustee office that answered said to request the final paperwork from my attorney but I was under the impression it was sent by the trustee once they have reviewed/audited my BK13. She did say I did not need to make anymore payments but she also said the final disbursements would not happen until the end of July??? I then contacted my attorneys office and they said the paperwork would be sent to them by the court and then they would send it to me to fill out.it does sound like this is going to be a lengthy process but I am trying to be positive and realize the end is in sight

[GUYINA13]

I am in the same boat with both of you in this hurry up and wait game. I made my last payment in June and NDC shows principal paid and base plan amount as exactly the same but the disbursements to creditors has not been made. In fact I had even made an extra payment. It does show in NDC that my trustee retired and a new one has taken his place. It also shows as active and about to complete in 1 month. I have always been fearful to contact my trustee and never really needed to but on NDC it shows my trustee as a participant in 13network which from what I have read gives a little bit more updated info but it said to contact the trustee for access which I did. The person at the trustee office that answered said to request the final paperwork from my attorney but I was under the impression it was sent by the trustee once they have reviewed/audited my BK13. She did say I did not need to make anymore payments but she also said the final disbursements would not happen until the end of July??? I then contacted my attorneys office and they said the paperwork would be sent to them by the court and then they would send it to me to fill out.it does sound like this is going to be a lengthy process but I am trying to be positive and realize the end is in sight

Hey Carlybean!

Did you have a wage order (were they taking out automatically from your check every pay period)?

I am wondering if so, have you looked into when that gets stopped?

Hope all works out quickly for all of us!

[Carlybean]

No not a wage order I was paying through TFS. Does your Trustee use 13network? I am thinking since it seems there might be a little more info on that site. Maybe one of the site moderators here on bkforum might have some insight on that?? I am just thinking if your trustee does use that then you would have to call their office for permission to access it and maybe at the same time throw out a few questions about your wage order

[GL57months]

I used TFS, also as I was retired at the point of filing. My Trustee used 13network also, it was a valuable service to keep me updated on my progress and who failed to file a claim, what my car balance was, etc. I highly recommend anyone in C13, to use it, if you have access to it. I received an email from the Trustee, with a pdf attached that stated the following, "Your Chapter 13 Plan is in the process of being closed. This letter hereby authorizes you to
cease all payments to this office." That email arrived 9 days, (7 business days), after my last TFS withdrawal. The date of that letter was also referenced on the 13network site, as the Trustee Close Date. I also received a refund check for overpayment and was discharged 24 days after the "cease payments" email and 35 days after my last TFS withdrawal. I was concerned as well about the delay but knew the more the Trustee received, the larger my refund would be. Due to the timely fashion, which my Trustee's office handled the closing, my refund was less than one-third of one month's payment. My attorney was on his game and the final form moved at light speed, as well as my discharge by the court. brokenurse, I was in the Southern District, I hope this sheds some info and hope to all of you.

[brokenurse]

I used TFS, also as I was retired at the point of filing. My Trustee used 13network also, it was a valuable service to keep me updated on my progress and who failed to file a claim, what my car balance was, etc. I highly recommend anyone in C13, to use it, if you have access to it. I received an email from the Trustee, with a pdf attached that stated the following, "Your Chapter 13 Plan is in the process of being closed. This letter hereby authorizes you to
cease all payments to this office." That email arrived 9 days, (7 business days), after my last TFS withdrawal. The date of that letter was also referenced on the 13network site, as the Trustee Close Date. I also received a refund check for overpayment and was discharged 24 days after the "cease payments" email and 35 days after my last TFS withdrawal. I was concerned as well about the delay but knew the more the Trustee received, the larger my refund would be. Due to the timely fashion, which my Trustee's office handled the closing, my refund was less than one-third of one month's payment. My attorney was on his game and the final form moved at light speed, as well as my discharge by the court. brokenurse, I was in the Southern District, I hope this sheds some info and hope to all of you.

Thank you for this info. Unfortunately, I am in the northern district and I haven't heard a word from my attorney, but today is only the 7th business day from my last paycheck. NDC shows the funds are still on hand and it's really crappy to me (regardless of process/procedures) if they hold onto it for another two weeks to make the final disbursement and also keep taking money from my pay in the meantime. I know I'll get a refund, but I also need to take over making my mortgage payments and don't know when that's happening either to be able to set those funds aside. I'm finally at the finish line and it seems like it keeps inching farther away.

[Carmella]

brokenurse I am in the Northern District as well. My attorney sent me an email of the order to stop the wage deduction as soon as it was posted with the court and I was able to email it to my payroll people who processed it ASAP.

The last wage deduction was on my June 10th which also happened to be my pay day and that was the same day I was notified that the wage deduction was ending. We ended early since all the creditors did not file. You can look on PACER and you will see whatever is filed with the court. NDC also notified me the same day as the attorney did--congratulating me.

You mentioned the mortgage. I paid mine outside of the plan and about 1-2 months prior to discharge there was an order put in, and I don't remember the name of it, but it was sent to the bank to verify all my payments for the mortgage and HELOC were up to date. They check to make sure it's all up to date before stopping the wage deduction.

Hang on the end will be coming soon from what you have said.

[brokenurse]

brokenurse I am in the Northern District as well. My attorney sent me an email of the order to stop the wage deduction as soon as it was posted with the court and I was able to email it to my payroll people who processed it ASAP.

The last wage deduction was on my June 10th which also happened to be my pay day and that was the same day I was notified that the wage deduction was ending. We ended early since all the creditors did not file. You can look on PACER and you will see whatever is filed with the court. NDC also notified me the same day as the attorney did--congratulating me.

You mentioned the mortgage. I paid mine outside of the plan and about 1-2 months prior to discharge there was an order put in, and I don't remember the name of it, but it was sent to the bank to verify all my payments for the mortgage and HELOC were up to date. They check to make sure it's all up to date before stopping the wage deduction.

Hang on the end will be coming soon from what you have said.

Thank you Carmella ! My mortgage is paid through the plan, but I did get the same notice (notice of final cure payment) about a month ago from my attorney stating that everything was up to date and we will receive a closing letter when we should begin making the mortgage payments ourselves. I have not received that yet. Honestly, I don't really know how to navigate Pacer, but what I have seen there is that I'm still in an Awaiting Discharge status and the last entries on the docket history are our personal financial management courses; nothing about stopping the wage order. So I will just continue to be completely impatient I know it's ending soon; I just cannot wait to breathe that sigh of relief.

[Carmella]

brokenurse HURRAY and CONGRATS!!!

[brokenurse]

I am stilllllll waiting and my wage order is still in place. I don't know what is going on, but all of my claims were paid in full at the end of June. I reached out to my attorney who gave me the generic answer of "it's in the wrap up stage." As I mentioned, my mortgage was paid through the plan by the trustee so I guess that's what they're wrapping up. I know this will be over soon, but I'm completely irritated with my attorney and her lack of information. Like, tell me how long this wrap up stage usually takes so I know what to expect! All she told me was that I need to keep paying into the plan until the trustee files to stop the wage order.

[shipo]

Your attorney cannot tell you what she doesn't know, and if the Trustee isn't telling her (highly likely), then she cannot tell you.

[justbroke]

Like, tell me how long this wrap up stage usually takes so I know what to expect! All she told me was that I need to keep paying into the plan until the trustee files to stop the wage order.

This is 100% in the Trustee's hands and your attorney can only say "the trustee is wrapping it up." I don't know if your Trustee filed the notice of plan completion (which triggers a bunch of things), but until that's done, and then the final checks, and then the 30-60 days for check clearance, and then the final audit and report... we remain at the mercy of the office of the Chapter 13 Standing Trustee. The notice of plan completion, at least, will usually trigger the vacating of the wage deduction order. If they take another chunk from your next paycheck then you should apply more pressure on your attorney to apply pressure on the Trustee. They took over $13,000 from my paycheck before it stopped! (Yes, I received a refund over $14,000.)

[brokenurse]

Your attorney cannot tell you what she doesn't know, and if the Trustee isn't telling her (highly likely), then she cannot tell you.

She seems to not know a lot for getting paid to know a lot.