Unsecured Creditor Claims and Plan Confirmation

[BK09]

Awaiting Confirmation on 6/22, and while checking on the unsecured claims online.............I noticed the unsecured creditors are starting to file claims. How do these claims affect the my case? No creditors showed up at the 341 and attorney said we were looking good heading into confirmation.

There were no balance transfers, cash advances, or extravagant purchases (+$600) in the 100 days leading up to filing.

Basically just curious if these claims will make our plan more difficult or prevent confirmation on 6/22.

Thanks - BK09

[Nicollette]

Awaiting Confirmation on 6/22, and while checking on the unsecured claims online.............I noticed the unsecured creditors are starting to file claims. How do these claims affect the my case? No creditors showed up at the 341 and attorney said we were looking good heading into confirmation.

There were no balance transfers, cash advances, or extravagant purchases (+$600) in the 100 days leading up to filing.

Basically just curious if these claims will make our plan more difficult or prevent confirmation on 6/22.

Thanks - BK09

All the creditors that you listed in your plan have the right to file claims by the "bar date" which I believe is 90 days from the date of filing. Some have a longer time frame to file claims, such as student loans, which is 180 days from the date of filing.

[DeadManCrawling]

Additional creditors will NOT increase your payment, if that was a concern.

Your plan will either be approved or not. Priority and secured debts get first crack at your payments. Whatever is left, if anything, is split among unsecureds, after expenses.

Most likely, the other creditors are adding their debts "just in case" there is anything that actually filters that far down the chain of vultures.

Generally, the carcass is picked clean and suitable for mounting in a museum before they (unsecured creditors) get anything.

[BK09]

thanks for the replies.............so USUALLY the plan the attorney proposes is confirmed at the amount initially proposed? Basically these claims do not affect plan unless bogus charges prior to filing?

[DeadManCrawling]

The plan is the plan.

It may be confirmed or not. If your lawyer follows the law and does their job, you will have a plan you can live with that also is acceptable to the trustee.

It is up to YOU to look for reasons it won't work. Make sure you check every line, every expense, every payment. After all, it will be YOU paying, not your attorney.

If something is off by even a small amount, that can add up over time and ruin your plans. Meaning, if you have underestimated your repair expenses on a home, you could get 3 years into a 5 year plan and discover you can't pay the plan due to a repair or whatever.

Attorney should have a good idea of what is going on, but ultimately, you have to make it work.

Good luck!