Chapter 13 -Selling an asset

[trp4151]

I am just about 1 year into a 5-year 100% payback chapter 13. (1905 a month.) I have two vehicles that are being paid outside of my chapter 13 and a boat that I have been paying on outside of the plan as well. The finance company for the boat never filed a claim but I have been paying the loan on time outside of the plan. I am now selling the boat with a profit margin expected to be between 20-30K. My lawyer is notifying the court of the sale via a motion and reached out to the trustee. The trustee did not seem to have a problem with me keeping the proceeds depending on the profit (they didn't give a number.) My lawyer seems to think I will be able to keep the profit and continue with the original plan since I am in a 100 percent payback, but he cannot guarantee it as the court may tell me to apply the profit to the 13. My lawyer thinks we have a good argument to keep the funds but said there is not a lot of case law. Has anyone else dealt with this issue? I would rather keep the profit as cushion as 1905 a month has been a challenge.

[Clay3007]

Can’t help ya if they let you keep the money or not but just look at the possible bright side. Depending on where you are in the chap 13 you can knock off between 10-15 months off the plan perhaps or mabye even pay off the case if they make you turn over the whole amount.