Car Payments in 13

[reereeof2]

Okay, our BK was filed April 1 and our 341 meeting is on April 29th. We have 2 cars that the payments have been kept current on. Our first payment to the trustee is on May 1st and the payment includes the cars. Do I not pay the notes due in April (one due on the 10th the other on the 18th) since they are a part of the BK and will be paid thorough the trustee even if my 13 hasn't been confirmed yet. We definitely can't afford to pay the current notes and then turn around and pay our BK payment too. Any insight would be great. TX

[SMinGA]

If the car loans are included in the bankruptcy - then no, you would not keep paying them directly. Confirm with your attorney if you have any doubt about them being included though.

[newbie2]

Okay, our BK was filed April 1 and our 341 meeting is on April 29th. We have 2 cars that the payments have been kept current on. Our first payment to the trustee is on May 1st and the payment includes the cars. Do I not pay the notes due in April (one due on the 10th the other on the 18th) since they are a part of the BK and will be paid thorough the trustee even if my 13 hasn't been confirmed yet. We definitely can't afford to pay the current notes and then turn around and pay our BK payment too. Any insight would be great. TX

Since your BK payment is due by May 1st I would pay that early(in time for the first car payment), and skip the car payments. As always though, ask your attorney how this should be handled.

[reereeof2]

Thanks all. Both cars are included in the petition. Notices should have been mailed (or in the process of being mailed to all our creditors). I'm gonna pay the trustee and double check with our atty just to be on the safe side. Wow, this site is a God send to say the least. Thanks again.

[lrprn]

Whoa, people! All car loans are included in the plan when a Ch 13 is filed. However, whether you PAY the loans yourself depends on the arrangements in your individual plan.

PLEASE, PLEASE reereeof2, call your lawyer! Find out for sure whether you need to continue paying your car loans yourself or if your trustee is paying them. It's crucial to find this out before choosing to skip payments on an asset after filing. You could set yourself up to get your cars repossessed if you don't make the payments on time and you were supposed to.

Get going! Call your lawyer tomorrow first thing. You could lose your cars to repossession if you do the wrong thing in this situation.

[newbie2]

Whoa, people! All car loans are included in the plan when a Ch 13 is filed. However, whether you PAY the loans yourself depends on the arrangements in your individual plan.

PLEASE, PLEASE reereeof2, call your lawyer! Find out for sure whether you need to continue paying your car loans yourself or if your trustee is paying them. It's crucial to find this out before choosing to skip payments on an asset after filing. You could set yourself up to get your cars repossessed if you don't make the payments on time and you were supposed to.

Get going! Call your lawyer tomorrow first thing. You could lose your cars to repossession if you do the wrong thing in this situation.

In the original posters first post, first paragraph, it states "payments include the cars". You are correct though, it is always best to call the attorney to double check.

[reereeof2]

Hi All, contacted my atty (hasn't gotten back to me yet) so I referred to the letter that my atty sent to me and my husband once our case was filed. It states "Your payments to the Trustee are 621.00 per month for 60 months. This payment is subject to change. Please remember to keep records of all payments to the Trustee and your mortgage company. This monthly payment to the Trustee includes the entirety of your debt for your vehicles. Though this seems self explanatory, I was just wondering about the April payments since my first trustee payment isn't until May 1st. Will post again once atty gives me a definitive answer.

[klandsb]

I had the same issue and I didnt pay the car pmt. I find it VERY interesting how my trustee makes my secured pmts to the creditors. Not one has every received the total amount due and they are all showing in arrears... She sends them a little here and there... OH well, not my problem anymore.. I never thought I would say this but I am so happy that they take my pmt directly from my paycheck .... No worrying about it being on time, money order thing ect ......

[reereeof2]

Hi all, finally heard back from my BK Atty. Here is the response regarding whether or not I should continue to make the car payments for April...."No, the auto payments are in the trustee payment. The trustee will pay them based on the payments they receive from you"...so I guess that officially answers the question. Thank you to all of you for your responses and input. It has been a great help and relief to hear from people going through the same thing. Thanks again!!