Plan ending early because of payroll deductions.....??

[JJPoppy]

Hi everyone,

We are 8 months away to complete our 36 month payment plan and I've noticed something odd. It's a good odd though. I checked the 13data center website and it looks like we only have about $3000 left to pay into our 100% plan. According to my calculations and the payroll deduction we should pay all of that as of the 3rd week of January next year. Our plan doesn't end till March. I think...we filed in March 2011. Regardless of that does it mean that this will all be over once we've reached that 100% mark?! If that's the case then with there only being such a small amount left to pay into the plan at the end of November could we just send in January's payments early and be done? The only thing I can think of why we didn't stay on schedule is because of the payroll deduction. Some months where there were/are 5 weeks my husbands check is still deducted the 1/4 of the monthly plan payment. I guess if it ends early then this would be cause to celebrate. 6 months sounds a lot better than 8 months!!!!

Has this happened to anyone else? This is a good thing right? Is there anything we should be doing right now to prep for discharge?

[LadyInTheRed]

Don't rely on 13datacenter too much. It is not the official court record. Check PACER if there is any doubt about the amount of approved claims.

Your plan will end once you pay 100% of unsecured claims (including attorney fees included in the plan) and trustee fees. But, even after you pay that amount, you should not stop making payments until the trustee or your attorney tells you to. [ETA: I just realized that since your payments are through payroll deduction, there is no danger of you stopping payments too early]. Any overpayment will be refunded to you.

Make sure you've taken your post filing course. Once you think you've paid 100% plus trustee fees, contact your attorney and let him know.

[JJPoppy]

Thanks LIR. Well I guess it was too good to be true. Guess we are just getting anxious that we are so close. We have taken our post filing course already. We're just anxious to get this all over with. There isn't much left to pay at this point. Anything left right now is all credit card debt. Which we didn't have much before we filed. We've never had an issue with that sort of debt. This isn't going to stop me from starting the countdown clock. 8 months to go..............

[LadyInTheRed]

The payments could stop in 6 months. Just don't count on it. t's possible the trustee will stop the payroll deductions. It also may be that your attorney has to do the paperwork to stop them. Different courts have different procedures. That's why it's best to contact your attorney once you think you've reached the 100%.

[toojerm]

I had the same thing occur, due to company withholding the extra check in months where there were 3 paychecks. I was scheduled to complete @ the end of July, but completed last payment May 24th. I called the trustee and the lawyer to get the garnishment stopped, which it did after taking the June 7th check. I got my refund from the overpayment a week later, and today I got the discharge in the mail, 31 days after paying in full! I was amazed at how brief the discharge document was, only two lines. My advice, be diligent with the trustee to end the garnishments, the lawyer really had nothing to do with it. Call them early and often.

[LadyInTheRed]

My advice, be diligent with the trustee to end the garnishments, the lawyer really had nothing to do with it.

That is true in your court, but in some courts, it is the debtor who must submit an order to end garnishment for execution by the judge.

[JJPoppy]

Thanks for the input toojerm. I sure hope that this is the case for us as well. I will call my lawyer around November and ask him what he thinks. What did you have to do to get them to stop the garnishments? Is there a form to fill out or just a written request with follow up phone calls? We are just ready for this journey to end and quickly.

[LadyInTheRed]

Is there a form to fill out or just a written request with follow up phone calls?

Somebody needs to apply for an order terminating the garnishment. Whether that's the trustee or debtor's attorney depends on local procedures. Just be sure to contact your attorney when you get to the magic payment. He/she can tell you what happens next.

[toojerm]

I called them both one check early to get them prepared. The attorney said they were out of the loop on the wage directive, and would forward my request to the trustee. In the 58 months of the BK, this was the only thing that broke in my favor. With the hundred percent paid in full, they have no reason not to accomodate you.