Paying Off a Ch13 early

[nicktesla]

I have been in a Ch13 since June of O5 and have gotten back on my feet
to the point of being able to pay off my BR early. I am a little concerned about contacting the Trustee for fear of having my plan overhauled and having to pay even more back. Not trying to be a deadbeat but I have worked very hard and ran very lean the last 4 yrs to get myself back into
this position. Does anyone have any experience or advice on this type of
early payoff. My BR attorned died a couple of years ago and I have never spoken to my trustee. Any advice would be appreciated.

[filingin08]

Not to pry, but if you're that close to finishing your plan under the radar, why would you want to complete it early? I'm just curious.

[plantlover]

I filed in Oct 05 and have paid secured back 100%, trustee is now paying unsecured more. I want to make a modification motion to reduce my payments (income has declined from self employment) . My attorney said it's possible for an early discharge. I have to pay him $500 more to try either situation. So I'll let you know what happens.

[plantlover]

I forgot to say that with only a few payments left until June, I would be hesitant to rock the boat. In my situation, I'm worried that the judge will move for dismissal because of my dire straits. Anyone have this experience?

[sunflower223]

I just recently started the process of filing, but I would leave well enough alone. If you payoff the initial amount early, they will make you continue to pay toward your unsecured debtors until the five year period, or however long you signed on for, is complete. This is from what I understand. I would just stay quiet and finish my payments up as is.

Good Luck

[atolar]

ya, I would just leave it alone!! and put that money in a keybox.

[Flamingo]

I have been in a Ch13 since June of O5 and have gotten back on my feet
to the point of being able to pay off my BR early. I am a little concerned about contacting the Trustee for fear of having my plan overhauled and having to pay even more back. Not trying to be a deadbeat but I have worked very hard and ran very lean the last 4 yrs to get myself back into
this position. Does anyone have any experience or advice on this type of
early payoff. My BR attorned died a couple of years ago and I have never spoken to my trustee. Any advice would be appreciated.

I am Old Law, early buy out. I am assuming you have a 5 year plan which will run to 2010. When your attorney passed away, his cases had to go to someone else either in his firm or to a designated attorney. You will need to find out who that is, contact them and make an appointment. In order to buy out of your Plan early you need to take the following steps (1) consult with your attorney (in your case, whoever took over your former attorney's cases) to see if you are actually able to buy out and how you plan to buy out (i.e., refinancing your house to buy out with the equity (as we did); (2) your attorney will contact the Trustee and if the Trustee feels you can buy out then the wheels will be set in Motion. If you run into a dead end as to finding out who took over your attorney's cases, call the Clerk of Court in your Bankruptcy Court and he/she should know or refer you to the proper source. The Trustee will not deal with you directly.

Best of luck to you!

[nicktesla]

Not to pry, but if you're that close to finishing your plan under the radar, why would you want to complete it early? I'm just curious.

I just want to be done with it. I cannot start paying off my school loans until I am done with this. So I would like to start taking care of that which is just drawing interest (albeit not much) in forebearance. It is still alot of money that I need to start paying back. Over 100K

[nicktesla]

ya, I would just leave it alone!! and put that money in a keybox.

I still have a year plus left on my repayment. Basically I just want to be done with it so that I am the one making my financial decisions not a Trustee. Granted those decisions in the past were at the root of my problem but I wont let that happen again. Just ready to move on more than anything. I placed a call to my attorney (the replacement attorney) luckily my wife was able to figure out who he was.

[nicktesla]

Thanks I am trying to contact my BR attorney as we speak. So did all go smoothly FLAMINGO?

[Flamingo]

Thanks I am trying to contact my BR attorney as we speak. So did all go smoothly FLAMINGO?

As to our early buy out? Yes, but it took several months to finalize because it was a refinancing. We started investigating in 9/05 and closed in 4/06.

[PoGirl]

At my 341 we were told to NEVER buy out early unless we were in a 100% plan. To try and pay off early would automatically convert us to a 100% plan.

[Flamingo]

At my 341 we were told to NEVER buy out early unless we were in a 100% plan. To try and pay off early would automatically convert us to a 100% plan.

We were "old law" (as is the OP) and at that time if you were past 36 months in your Plan, you could buy out at the percentage rate of your Chapter 13 Plan, not 100%. It doesn't appear that is applicable under the new law from what has been posted on here thus far.

[nicktesla]

Paying off a Ch 13 early

We were "old law" (as is the OP) and at that time if you were past 36 months in your Plan, you could buy out at the percentage rate of your Chapter 13 Plan, not 100%. It doesn't appear that is applicable under the new law from what has been posted on here thus far.

Yes I am under the "old law BR" but I am still a little leary of "rocking the boat". Hopefully I will hear back from my attorney in the next week or so.
Like I said I just want to get back on track, paying off school loans etc...
A vacation for the first time in 10+ years would be nice as well but, first things first.

Thanks for all the reply's I will keep you guys informed.

[nicktesla]

Paying off a Ch 13 early

Just to let everyone know, spoke with attorney yesterday.
He says that to pay it off under the "old law" is no problem as long as you have been in 36 months (pretty much what we figured).
He said the payoff amount is the sum total of remaining payments, so no interest deduction etc... He told me that I need to call the Trustee and they would do an audit that will take about a week. Then they should be able to give me a final buyout total. So I will wait till I reach a point where I feel I can write the check and not stress out too much. Probably May or June if all continues to go well.

Thank you for all of your responses.