Need to vent....

[klandsb]

So my 5yrs was up 10-21-2014. Got letter stating wage attachment to end and starting in Dec. I would making my own mortgage & heloc pmts. As of today I have $3251 credit showing on NDC. Last pmt to mortgage & helco was 10-29-14. I received my first and only paycheck 11-28 that had no wage attachment. My car was having issues which were $500 to fix so I was happy that I had the money to pay for it.
Sent the trustee a email asking if my mortgage & helco were paid at the end of November . Received an email back stating no I am responsible for the payment due Dec 1st. and also that the extra money sitting in my account will be distributed to my creditors at the end of Dec. So I started at 40% payback , then somewhere along the way it went to 44% and as of today its showing 49.25% ... I am so mad that I have no extra money ($700) to make my Dec 1st mortgage & helco pmts while I have the money in my account and now will have to actually make 2 pmts on each by 01-01-2015. Seriously am I missing something here ???? Also, it stated if nothing goes wrong I will probaly be discharge at the end of Jan and if I have any credit left it will be refunded. I know you cant fight city hall but I am upset at the accounting at the end of my case. Any comforting words would be appreciated

[justbroke]

This is typical Trustee accounting and is nothing new. Many Trustees do not pay the unsecured creditors until the end of the Plan period. Additionally, many Districts require that even if you paid a 10% commission in your payments, but the actual Trustee commission was less, then any extra you sent would go to the unsecured creditors! I believe my region is something like 6.5% yet the collect 10%.

Additionally, as you have learned, the percentages can change. This can happen based on tax refunds that were not included in the original percentage.

I'm sorry to read that you misread the Trustee NDC site. We often say to ignore what's on there, it's the Trustee's accounting, and only asking the Trustee's office directly will ever get you the correct answer. Perhaps there may be some refund but I would not count on any refund at this point. Just keep your head down and stay current in this post Plan period. Hopefully they made a mistake.

[klandsb]

Honestly justbroke I am at my wits end. I think my payroll department was slow on stopping the wage attachment which means more money (that could have paid my mortgage & helco) went into the pot for creditors... I need that money cause I seriously cannot make my mortgage payment that was due yesterday. I am so flustered . Is there any recourse you can take ??

they paid my unsecured creditors a little in august, a little more in sept & oct & now they will be getting more at the end of December...

[LadyInTheRed]

If your payroll department did not stop wage garnishments as soon as they should have, then that money will be returned to you. But, you say the order was to stop garnishments as of December and that you received a 11/28 check with no garnishment. It sounds like they stopped when they were supposed to. If you filed on 10/21/09, then you are not done on 10/21/14. You are done after making 60 monthly plan payments (or 120 payments if you are paid twice a month).

I recommend you not hold out hope on getting a refund from the trustee. If you get something back, let it be an unexpected surprise. Focus on making sure you can pay that mortgage. You will be past this bump before you know it so you can really enjoy your fresh start.

[klandsb]

They sent the letter to my employer on 11-10 to stop garnishment but the trustee received a pmt on 11-14-14 . They put the wrong state, correct zip code in the sent too address if that mattered or not I don't know. Then they sent another stop garnishment to my employer on 11-17-14 to the correct address and that's when it must have been stopped. That one payment doesn't seem like it would matter that much but it does too me. I am so close but this has thrown a wrench into it because I am stressed about missing that payment due date that I thought would be taken care of thru my plan . I guess because the payments came out at the end of each month , last one being 10-29-14, when they said I would start making them in December I thought they meant the end of December not December 1st....

[justbroke]

Exactly what LITR writes! I had an issue where my payroll deduction (of $4,700 a month) continued for 3 months after my case was converted. I eventually received checks in the amount of $11,000 and $3,100. I had to beg the Trustee for the first $11,000 check because my mortgage was due.

[klandsb]

Wow ... makes my garnishment look like pennies ...ha,ha... Per the letter the garnishment was to stop immediately and my mortgage was to be paid by me in Dec. I just didn't realize that meant Dec. 1st.. Not sure I said that correctly. This too shall pass I will just be a week late on my payments is the best I can do. Is the Chapter 13 still active as far as my mortgage company is concerned till discharged ?

[LadyInTheRed]

Is the Chapter 13 still active as far as my mortgage company is concerned till discharged ?

You are protected by the automatic stay until you are discharged or until the court orders the stay lifted. You will be fine if you catch up by January 1st.

Does your loan have a grace period? Many have a 15 day payment grace period.

[klandsb]

Spoke to attorney today. He is looking into it for me. Its confusing and I am not sure I stated the facts correctly or not in my post as I was completely stressed out. Hopefully he can get it straightened out for me. Fingers crossed.

[spidge]

Sorry to hear of your frustrations klandsb. I hope it turns out to your advantage. Either way you have made your last payment and if needed you will have to wriggle out an additional set of mortgage payments yet still be done with the BK. Congrats, if you made it this far I think you can fight a little longer to get'r done.

I agree that NDC and the other site(?) can become confusing and maybe even a bit misleading. The key seems to be the plan base rather than the payback as you will pay your agreed on payment despite the percentage. Unfortunately the plan base increased every time I sent in a tax refund too, but that was expected. On another note the principle balance owed from the statement I receive from the trustee is always half what I have left toward the plan base on NDC.

[jange]

klandsb I hope everything works out for you and you do get some refund or at least they pay your mortgage. I am down to my final payment which gets sent in right after Christmas!!!

[klandsb]

jange... I am sure you are just as anxious as I am to have this all behind me. I consider this just a bump in the road before the finish line. I just don't understand if my helco was due 11-27 & my mortgage 12-1 why when I am showing $3000cr on my plan base that they didn't make my secure pmts in November. Instead they upped my % to the unsecured by 5% which will still leave me $900 cr as my attorney stated yesterday. I am at the whatever stage. They can give the money to whoever they want at this point. Its paid in full and that is the most important part.

spidge.. I was fortunate and got to keep any tax refund I received the entire 5yrs. Never had to report a dime. This is the only glitch I have had so if I have to come up with the money I will start working as much OT as possible for the next 3 weeks.

[May2014]

My trustee always has a "balance at hand." I think what's sitting there is based on file date (and due date) and when the disbursement is. The credit you are seeing might be the stuff in limbo. Payment 60 will get sent to where it needs to go, don't get hung up on %. The only thing that really matters is YOU ARE FREE!!

And if you are worried about the mortgage, you can call and ask what the grace period is. Ours is 15 days no late fee, late fee applied 16th and beyond. 30 days is when it goes to the credit report.

[klandsb]

yes , May2014 you are correct. Seeing that : Date Case Closed: 12-01-2014 on NDC was awesome... discharge will be even better... last and hopefully final disbursement scheduled for end of December.