Different payment amounts. What should we do?

[mylife]

Hello,

We had been paying $750/month for the past few months and we were recently confirmed at $850. The ttee sent the information to payroll now the payments are being taken in two equal monthly installments that total $750. Should we have the atty contact the ttee or let it be? We're assuming to let it be otherwise they'll discover their error and come back and say we owe them money.

Thanks!

[mountanddo]

I'm pretty sure that eventually they will figure out the error and since you know about it then the thing to do would be to inform your attorney. You may get away with it for awhile but all that will do is increase your payments more in the future.

[newbie2]

We had this happen and had to make sure our attorney coordinated with the trustees office to send a new updated wage order. In the meantime we sent a check to the trustees payment address for the difference. It is YOUR responsibility to make sure the trustee gets what they are supposed to get. Make up the difference yourself, send it in, and talk to your attorney about a new wage deduction.

[jange]

My payment jumped $300 a month at confirmation which increased my overall plan amount back to the original date we filed. Since the plan increased I also had to increase my payment an additional $20 per month to make up for the difference in the original amount and the new amount. I send money orders every month but I would not wait to find out as you will need to make up the difference.

[HHM]

IT is not uncommon for the plan payment to change as part of the confirmation process, a chapter 13 is, in many ways, a negotiation with the trustee. Your attorney's proposes a plan, the trustee objects, and the two sides work it out. That usually means some give an take, the trustee doesn't get everything they want, but the debtor usually has to give a little and increase the plan payment.

However, for getting the payment changed, you need to do so ASAP, you would be seriously jeopardizing your plan if you just let it sit there until someone figures it out.

[mylife]

Thanks for the information. My husband said we should just send the extra payment. I'll follow up with the atty.