Chapter 13 and 100% Repayment Plan

[mjsantos]

My questions involves bankruptcy in the State of: NY

I have three questions guys and I would appreciate it if someone could help me.

1. I filed for Chapter 13 with 100% repayment plan. However, the amount decreased significantly since not all credits filed a claim. Does that mean that they will not be included in my repayment plan and that I do not have to worry about them anymore if I complete my plan?

2. If my repayment plan is 100%, do I still have to submit my tax refunds at the end of each year? Does the trustee still gets to scrutinize my financial life? Do I have to inform him of any wage increase, extra income or any financial move I make?

3. Can I pay early if I am in the 100% repayment?

Thank you.

[Mr. Knowitall]

Your creditors have 90 days to file their claims. If they fail to do so, they will not receive payments and their unsecured claims will be discharged at the conclusion of your bankruptcy. The lien of secured creditor who makes no claim will normally survive bankruptcy. You can object to a late claim.

Some claims won't be discharged at the end of bankruptcy unless paid in full (e.g., child support, most student loans, spousal support, some tort claims), or the creditor has a security interest in the property resulting in an aforementioned lien, and it thus makes sense to talk to your lawyer about whether you should file a claim on behalf of certain creditors who have not done so.

The trustee gets to pore over your private financial life, but if you're paying 100% and haven't fallen behind the trustee may see little need to do so.

You can pay off your plan early. As it's a 100% plan, there's no additional award to be made to creditors based upon an increase in your assets or discretionary income.

[mjsantos]

Do I get to keep my income tax return?

Also, now that my plan was confirmed, will I get a letter from the Court stating so?

Thank you.

[M'sta Mikey]

1. That depends what your attorney presents, the trustee agrees to, and how the judge rules. Not all cases are the same but in all honesty, the sooner you can repay the plan, the better. If that means applying your income tax return to the repayment plan, voluntarily or otherwise, then the quicker the discharge.

2. Yes; your attorney will forward you all the necessary paperwork. If not, ask!