Confirmation Letter rec'd I did NOT agree on payments!!

[calderon]

Well, first of all I can't seem to get a hold of my Attorney's office so I guess I'll have to drive up there and stand in the lobby to demand some help. Pretty sad that I was just 'brushed off'!! I've left a number of emails and phone messages!! They told me in the beginning..."Oh we'll be there for you from beginning to end". Yeah right.

So, I rec'd my confirmation letter today and my plan was approved by the court. However, it states that I'm to pay $525 a month (which is what I signed and agreed/or knew about from the 341 mtg) for the first 15 months and then it goes up to $785 (WHAT??!?) a month for the next 45 months. Total payback would be $43,200

In my schedule it's $38K with $25K confirmed. Why in the world would my payment go up with no contact or say so and why do I owe more money now then I did going into Chapter 13? I'm seriously confused and upset.

Anyone else encounter this and what can I do? This does NOT seem right at all.

[yak411]

Well confirmation would not take place unless the plan was submitted or amended as such. I had a change in my plan but I was notified by my attorney and I signed the new plan. Not sure why your attorney is not in touch with you. I would be at his office Monday morning!!!!

[calderon]

Thank you, I will be there first thing Monday morning. If this is the case, and there's no way out of this. Can I just walk away from this now?? I thought I was helping my family and now from the looks of it, I'm not. I just don't understand.

[HHM]

All we can do is speculate. Is your car going to be paid off in 15 months, perhaps they are amortizing potential tax refunds...who knows.

It is not uncommon for a plan to get tinkered with between 341 and confirmation. My guess is, the trustee saw something he didn't like and your attorney made some concession (but the attorney should have consulted with you first).

[yak411]

I agree with HHM...your attorney knew about this and did not keep you in the loop. Don't just walk away yet. Talk to the attorney on Monday and ask for an explanation. If you decide not move forward (which I do not suggest) then you can not make payments and the trustee will dismiss the BK13 unsatisfied. This means that you are back to square one with your creditors.

[calderon]

Thanks for your replies. I really appreciate it. I'm just so disgusted with this Attorney's office. Why can't they be on the 'up and up'? I don't understand how something can be changed without my knowledge and then to get a letter in the mail over the weekend. I guess the pain would only last for 5 years, but it's the matter of fact of not being included in the decisions of my chapter 13 destiny.

[krielly]

What I am not understanding about this is how an amendment to the plan could be filed without your signature??
Ours had to change slightly and we had to sign the amendment before it could be filed.

I don't think you ever answered the question about whether or not you have debt which will be paid off 15 mos into the plan. That's the only reason I can think of why your plan would increase. Just curious........

K

[laurannm]

Is that common to have a plan payment change mid-way through the 5-year payback period? I get farily large tax refunds now, but if forced into a 13 I was going to adjust by withholdings to limit the refunds going forward

[woeisme]

DId you sign a limited business power of attorney giving your lawyer the right to sign on your behalf for changes made in your plan? Did you read your plan carefully before signing so you are sure that this increase in payment wasn't in the plan you signed? Those are the only two ways I can think of off the top of my head that your lawyer was able to file this without your knowledge.