How much does the trustee get?

[cfneumann]

They are set at 10%, but is it 10% of the claim amount or 10% of the principal paid? Or is is 10% of some other number?

[HHM]

It is 10% of YOUR payment for the length of your chapter 13 plan.

So, if you are paying $1000 per month, the trustee gets $100 per month
If you are paying bi-monthly, $300, the trustee gets $30 from each payment (or $60 for the month).
etc etc. The trustee gets that 10% for the length of your plan up until your case is either dismissed or discharged.

[katze]

Our trustee started out at 8.5% but when I checked NDC to make sure our Oct payment was posted I noticed it was listed at 5.5%. I don't know when it changed but it had to be in the last couple of months or I would have noticed it. Oct was our 24th payment out of 36.

[HHM]

The actual percentages vary by district, but I believe the cap is 10%. But you are correct Katze, depending on where you file, the perecentage a trustee gets could be different. The percent a trustee gets is approved by the court and reviewed periodically. (i.e. maybe once or twice a year).

I know where I am, the trustee gets 10%.

[lrprn]

The % amount the trustee gets for administering his/her Ch 13 cases is set by the US Trustee's office and does vary around the country.The last reset was just done October 14, 2007. A quick look on individual Ch 13 trustee websites looks like overall the % fees charged by many trustees went down slightly as of that date.....interesting.

Here's the list of what Ch 13 trustees charged by district for cases filed between Feb 1, 2007 and Oct 14, 2007 - http://www.usdoj.gov/ust/eo/bapcpa/2...3_exp_mult.htm . I can't find a table posted yet for what is being charged after Oct 14, 2007.

[B12]

Ever wonder what kind of individual makes his living off of the impecunious person?

[cfneumann]

Ever wonder what kind of individual makes his living off of the impecunious person?

Like a slumlord?

[B12]

At least the slumlord is providing housing for money.

[HHM]

At least the slumlord is providing housing for money.

Let's be honest here...the Trustee is paying YOUR bills that you can no longer pay.

[B12]

YOU are paying your bills, albeit at a discount rate. The trustee is collecting a middle man fee to distribute your money. And...has fiduciary responsibility to the creditor to boot.

[HHM]

True, but if you were able to pay your bills, you wouldn't need the middle man, now would you?

In any event, it is the BK law that created the trustee.

[Skouris]

I am in the Western district of PA, and our Trustee's percentage is only 2.6%. I wonder why it is so low (not that I'm complaining)?

[Granny]

My trustee fee started out very low at about 2%. After confirmation, it has gone up to about 5.6%. I expect it to go up again as future payments are made post confirmation because if it doesn't, then there will be more going to the creditors and I don't see that happening.

[chpxiii]

I've noticed the percentage varies depending on the amount sent in, which is messed up, IMO. It is 3.something % when I send in my usual payment of $444.00 / month. However, if I try to pay more, the percentage goes up. I sent in an early payoff of ~$3,550. Right now on 13datacenter.com after I sent the early payoff amount the percentage is 6.2%. WTF? It seems that the more money I send in, the higher his percentage is. I kind of wondered if it is so that you can't necessarily pay off early.

I dunno. All I know is I can pay off early and I did. Once this is overwith, I don't have to worry about that anymore. (but I'm not leaving the board. )

[Granny]

cpxiii, I was hoping your would reply to this thread, for the not so obvious reason that we have the same trustee. I was hoping that you would come back with some relatively low figure for the trustee, which you did, thanks.

What I have noticed it that the percentage went down when I turned in one of the secured assets. My last three payments were sent to the attorney and to my mortgage company and he only took 3.41%. Prior to forfeiting the asset, he was taking 8.6%.

I wonder if assets or secureds have some bearing on the percentage he takes?