The Question that has been asked a thousand times before....

[mdl]

But I still get confused, so here is the direct quote from the Trustee's Summary of Confirmed Chapter 13 Plan:

"Period of payments: 60 months or until 0.00% is paid on allowed unsecured claims."
"Payments on allowed unsecured claims (including under secured claims) will be made after senior expenses and claims are paid."

I had secured, priority and special claims. The only ones listed on the confirmation are:
Attorney Fee
Notice fee
Trustee administrative fee
Filing Fee

And then my car loan, Kay jewelers and state and Federal taxes....

Can someone explain why it says 0.00%? It appears there may be a
little leftover unless the trustee gets it. The close we get to the end(14 months), the higher his monthly take is!

TIA!!

[dmc-2008]

Maybe just a place holder?

[mdl]

I don't understand what you mean by "placeholder"?

[justbroke]

The percent payback does not matter. Do not even look at that number unless it is near 100% or actually 100%. The Trustee will take whatever disposable monthly income (DMI) that comes into the Plan and distribute to the unsecured creditors at some time. Some Trustees pay unsecured creditors a pro rata share immediately after confirmation, and others pay off all the big items (cars, attorney fees, etc) first and then pay the unsecured creditors near the end of the Plan.

We have a thread somewhere on the site about why the percentage payback does not matter (unless you are in a 100% plan).

So, don't worry about what a summary report reads. The Trustee, at this point, has no clue as to what percentage will be paid to the unsecured creditors. (Especially if you're in a District which requires the surrender of tax refunds and you actually receive one during the life of the Plan.)

[spidge]

Every plan and district is different plus the trustee can and will change the payback percentage when appropriate but will be based on your disposable income. Likely when you surrender your tax refunds, so try to get your withholdings as accurate as possible. The trustee gets a few percentage points so it is in his best interest for you to succeed, and he now takes it off the top. Don't sweat it though as your payment(disposable income) will not change no matter where the money goes. It does not sound like you have priority claims like tax or mortgage arrears, so your car(secured claim) would likely garner a larger amount from each payment and your credit card or store cards would follow near the end of the plan.

Please keep in mind this is based on my experience and what I have learned from discussion here and there. Your mileage will likely vary.