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I don't understand - Lender goes to 0% on balance (Post Petition)

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    I don't understand - Lender goes to 0% on balance (Post Petition)

    I started my chapter 13 with a few thousand of arrange for both of my cars - and started making post petition payments. 8 months or so into the case, the truss dismissed and I fought for a reinstatement. Dismissal was docketed as well as motion for reinstatement that was granted! During the time it took for the case to get reinstated , my auto lender wrote off the balance of my car loans. I emailed to ask what happened and was told because of the intermittent dismissal - loans were charged off. Followed by " Interest is no longer accruing on the loans so the payments you make now go directly towards the principal balance."

    Never heard of this before - is this common?

    I mean it sounds good to me but at the same time if they have a right to gain interest on PP payments, why would they not accept ?

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