Confused

[montana]

We filed chapter 13 about 1 1/2 years ago. We have been paying every month with no problem. This year we get back a large income tax refund. I called our lawyer to see if we were going to be able to keep it and he said that we included it in the schedule and he did not think it would be a problem. We have never got this amount back before so I am wondering if we will? Any thoughts on it? Also, one of our vehicles will be paid off in June. We pay for this outside the plan. (We pay our vehicles and our house ourselves) Will our monthly payment to the trustee increase because of this? It feels like we are finally getting ahead and now I am worried that we will just end up paying more each month. Any thoughts would be great!

[Lissy]

I believe it depends on your district and how your trustee treats such matters. I was told by my atty that I would most likely not be able to keep my tax refunds during the plan. I was also told that when my car was paid off in a year, my payment would increase and that would not be extra money for me. Was none of this mentioned when you filed and/or were confirmed? It's my understanding the car thing should have been included in your plan, so you should ask your lawyer about that. If he said you'd be able to keep the tax refund, I'm sure you will.

[newbie2]

You should have received a copy of the confirmation order. On it they state what your obligations during the life of the plan. Mine specifically says all tax refunds turned over. Others have mentioned that their "step up" payment due to a car being paid off is mentioned on their confirmation order.