Confirmed but questions.

[dwillis19]

Ok we were confirmed on Wednesday. And plan total is 25500.00. And just found out I have been offered a job that pays a lot more. Basically I will go from 18,000 to 40,000 a year. 13data center shows 100% payback. Attorney says 18% payback. I just checked Pacer on our claims, because we had a lot that did not file. And total of filed claims not counting student loans, is 23618.00. About 30 did not file. Anyway plan started on 7/2/09, 341 was 8-12 and confirmed 2/24/10. Main reason for the delay was my wife lost her job and attorney wanted something solid to go on.

Ok questions are:

1. Only creditors that file get paid?
2. I think I understand that student loan only go into forebaerance while in 13. So they will not be paid out of plan.
3. I did talk to y lawery and he told me to get with him after first full check.


OK here is a little info. Months 1-6 $575.00. 7-58 at $425.00.


The attorney said at first glance our payments could go up $600.00 a month. If all claims total 25000 or so and our payments go up to 1000 a month then plan should drop in number of months right?

Anyway any help would be appreciated.

[tigergem]

I know that only unsecured creditors that file claims get paid. I don't know about the student loan forbearance thing. You are going to have to pay them, for sure, in full, so I am guessing those are probably included in your plan. Your plan wouldn't have been confirmed if they weren't fully accounted for. Any increase you make in your plan payment, then, would logically go toward your unsecured debt - - and only those creditors that have filed claims. Percentage wise, how much, I don't know. You might have additional expenses also as a result of this new employment, so you should review your budget with your attorney carefully before making amendments.

Congrats on the new job by the way!

[SMinGA]

Student loans may be handled differently in different districts. My student loans are not in the plan, and are to be paid outside of the plan. One servicer says they can't bill me due to the automatic stay - but my plan has a box marked saying they can. I'm faxing that to them, hope they will know what to do with it. (The c/s people who answer the phone seem clueless.)

I'm not yet confirmed, and don't know that this will continue thru the entire plan, but I have to send confirmation of student loan & mortgage payments to my attorney. Even though servicer 1 is not billing me I can make payments.

[lrprn]

First, congrats on the new job! WTG!

Now for your questions.....

1. Only creditors that file get paid?

That's right.

2. I think I understand that student loan only go into forebaerance while in 13. So they will not be paid out of plan.

Depends on how your local court and trustee handle student loans while your plan is active. Most courts don't count SL payments as expenses during Ch 13 because the loans go into forebearance for the length of the plan. Some courts allow student loans to be a part of the plan like any other unsecured creditor. A few courts allow the student loans to be a legitimate expense and allow you to pay the minimum each month throughout your 13.

If you aren't sure what to expect in your case, lawyer can tell you how your local court handles SL payments during an active 13.

3. I did talk to y lawery and he told me to get with him after first full check.

I imagine your lawyer is going to redo your Means Test and Schedules to find out how your $18K to $40K increase in income is going to impact your plan.

If all claims total 25000 or so and our payments go up to 1000 a month then plan should drop in number of months right?

Everything depends on how your new income affects your plan.

When your trustee finds out about your new job with its more-than-doubled-income, he/she is going to demand an amended plan and recalculated payment that reflects that new income.

This could increase your plan payment significantly because you'll likely have a lot more disposable income once the Means Test and Schedules are recalculated.

You need to discuss the impact of your new job on your 13 with your lawyer after you get 1-2 paychecks from your new employer so you'll know what to expect. Set up and confirm that appointment now.