Trustee payments to secured creditors...

[NoTomatoCan]

I filed in March and was confirmed in September. So far I have paid in about $17k. We have two secured creditors being paid in the plan. One is a car, the other a house.

The trustee has made only minimal adequate assurance payments on the vehicle, and nothing on the home mortgage. Now that everything is confirmed, will the Trustee make "catch up" payments on those two secured items? (Essentially making the payments from when we filed in March up to now to bring the accounts current)

Just curious. I know it doesn't matter how the unsecured creditors get paid, but I am sort of interested in the secured creditors just in case I wind up ending the CH13 early. Don't want to immediately be in arrears on those secured items.

[lrprn]

Typically your trustee will first disburse payments to your lawyer and any priority payments (for ex, tax arrears) that you owe until those are paid in full, then will begin payments to your secured assets that are to paid in the plan (like your car) until that is paid off, and then last, will start sending payments to your unsecured creditors until your plan ends or they are paid 100% - whatever comes first.

The one nice thing is that by law your lenders have to agree to your plan and therefore have to take whatever the trustee sends them whenever he/she sends it. This is one of the biggest advantages of filing Ch 13, so sit back and enjoy the ride

[Chicken123]

We are in 1 1/2 years for our Chapter 13 and our trustee paid off our lawyer first, and has also been making minimal monthly payments for our 2 cars and our dell account., but the last couple of months she has also been sending payments to our credit cards...so i guess all trustees must disburse monies differently. So i guess thinking that all secured are paid first isn't what really happens.

[Pandora]

Hey NoTomatoCan - how long after Confirmation did your Trustee start paying on items? I'm still waiting to see 13Data update with status of "Confirmed" and payments to start going out

I did notice today the Trustee's % went up for some reason...it was 4% - now its nearly 7% - ??? No new claims or anything - odd. It started at 10, then kept going down until it hit 4. All claims were in, filed and processed when it was at 4%.