Chapter 13 time to confirmation

[busby]

My first post here - although I've been lurking for many months now and really appreciate all the information and sense of community.

I filed chapter 13 on 11/26/2007 and had my 341 meeting on 2/14/2008.

My confirmation hearing was 4/22/2008 (I didn't attend) but my question is that I haven't heard anything from either the trustee or my attorney since then.

My payments have all been on-time.

So am I concerned about nothing? Should I just "go with the flow". I've read that some people aren't "confirmed" until over a year after their confirmation hearing so I guess it just takes time.

I'm still not sleeping too well (but MUCH better than I was before I filed) and I was in bed and the idea just came to me that WHAT IF I pay my monthly payments for so many months that basically just cover the $3,000 priority debt to my attorney and then get denied? I would assume that's a possibility - but is it likely?

My information still isn't showing on 13datacenter but I guess it will shortly after I'm confirmed - whenever that happens.

Plan payments start with my first payment (which was in December) correct? I'm on a 60-month plan so I'm 6-months into aren't I?

Thanks for reading this and thanks in advance for your opinions!

[lrprn]

So am I concerned about nothing? Should I just "go with the flow".

In Ch 13 no news is usually good news. You will get an official letter from the bankruptcy judge after your case is confirmed.

Many courts are being slammed with multiple filers right now - that could account for the delay.

Give your lawyer a call and find out what the hold up is. Have you checked PACER yet to see what's showing up there?

I've read that some people aren't "confirmed" until over a year after their confirmation hearing so I guess it just takes time.

Sometimes it does. Took us 15 months (but we had three objections that needed to be worked through - not the norm).

WHAT IF I pay my monthly payments for so many months that basically just cover the $3,000 priority debt to my attorney and then get denied? I would assume that's a possibility - but is it likely?

No, it isn't even a possibility. Ch 13s get dismissed for not making your payments on time or proof you filed fraudulently. Right now your sole job is to keep making your payments on time and let the legal process work its way through at its own glacial pace.

My information still isn't showing on 13datacenter but I guess it will shortly after I'm confirmed - whenever that happens.

Your case doesn't have to be confirmed to appear on 13datacenter. It could be that your trustee isn't using 13datacenter. Have you checked http://www.13network.com/ to see if your trustee's name is there? If it is, you need to get a username and password from your trustee to access your account.

Plan payments start with my first payment (which was in December) correct? I'm on a 60-month plan so I'm 6-months into aren't I?

That's right - if you've already made your May payment, then you've made six payments so far so and are six months into your plan.

Glad you found us! Keep asking questions - we'll help you sort things out as best we can.

[rrockinggramma]

Your time clock for the 60 months begins on 4/22/08 so according to the trustee you are 2 months into it I found out Friday that it is 36 months or 60 months from CONFIRMATION not filing date. The trustee upped my percentage to unsecured again to get me to Nov 3.

[kornellred]

I think it's 36 or 60 months from the 341 meeting, by which time you must have been paying the trustee, confirmed or not. The payments you send in before confirmation definitely count. They have to.

[rrockinggramma]

the payments definitely count

but the 36 month or 60 month time frame begins with confirmation. Generally trustee's disburse funds after confirmation. So that is when it all begins

[Divorced-n-done]

Something doesn't sound right about that. What would be the Trustee's motivation to EVER confirm the plan? They could drag out every case indefinitely garnering larger payback for creditors, as well as padding their pocket with extra fees.

[rrockinggramma]

Funds are not disbursed until after confirmation. No confirmation, no pay for the trustee. Some do take longer to confirm. But the lady I talked to said that was her number 1 complaint about lawyers. She told me, as I was trying hard to fight back the tears, that lawyers needed to explain the timeline to their clients so they don't end up thinking the time line ends with filing date.

[itneverends]

rrockinggramma- I just found out the exact same thing. What a shock. I made my frist payment in 4/2005, but was not confirmed until 7/2005. I thought 36 payments and I was done, counting them down all they way. April 2008 comes and I find out the counter did not start until the case was confirmed.

So they take the 36th payment comes and it just keeps going, taking it out of my check and will continue until July at least. My 36 month plan is really a 40+ month plan. I think I have the same trustee in Michigan that you have. So the truth is there is NO SUCH THING AS A 36 MONTH PLAN with this trustee. A real kick in the gut.

But here is the real kicker- It took longer than it should have to confirm my case because my lawyer refused to return phone calls or listen to what I was telling him on certain issues. At the time I thought it was just annoying, now I realize he was costing me $$$$ for every day he did not return my calls.

[helpless]

Okay, now I am totally confused. My plan was orignally for 36 months, but then we added on the IRS, which would now make it 39 months. Looking at the trustee's website and doing the calculations of what I have left to pay, it would end up right at the time that it should @ 39 months. Is this nationwide or just with your trustee? I have never heard of this. Why wouldn't they spell that out in your confirmation letter? Boy, now you have me worried.

[Flamingo]

Funds are not disbursed until after confirmation. No confirmation, no pay for the trustee. Some do take longer to confirm. But the lady I talked to said that was her number 1 complaint about lawyers. She told me, as I was trying hard to fight back the tears, that lawyers needed to explain the timeline to their clients so they don't end up thinking the time line ends with filing date.

Yes, funds are disbursed after your Plan is confirmed; however, payments start 30 days after filing. So technically, as in the OP's situation, he is already six payments into his Plan. Those payments will be in his account and paid out after confirmation within a short time. Thereafter, funds will be disbursed monthly as more payments are sent in for the term of the Plan. His Plan will not run 60 months from the date of confirmation...it starts at the time of his first payment. BK filings are up so that is going to tie up courts tremendously over the coming months between filing date, 341 and confirmation. But the delay between filing and confirmation does not extend the term/length of your Plan. Just keep making those payments and on time.

[itneverends]

Flamingo- That is exactly what I thought, but I just found out it is not so. My first payment was April 2005 and they have already taken 38 payments and I have been told it will not stop unitl at least July. Everything I have states 36 month paln, but it will be 40 or 41 payments at least for me. All my unsecured have already been paid at the agreed upon 67%. Looking at the website everything was tracking to be paid and done in April, balance ZERO on everything as of April's disbursment.

When I inquired as to when the payments would stop, I was told since I was not confirmed until July 2005, payments would continue until at least July 2008 and unsecured would get a higher percentage. This is in Eastern Michigan, old law.

[itneverends]

helpless- my calculations all indciated I would be done at 36 months and it currently show a zero balance owed. They are still taking my money and will up the payout.

[Flamingo]

helpless- my calculations all indciated I would be done at 36 months and it currently show a zero balance owed. They are still taking my money and will up the payout.

Was there a modification or adjustment during your Plan with an increase of income?

[rrockinggramma]

nope, no modifications no additions no nothing. We might have the same trustee. I was soooo bummed. I have until November now. But the 1 good thing is that she sent me her "who does what" and highlighted her number on it so I can call her directly on November 3rd. She told me she would send out the stop payment order that day!!!!

I believe that it is like that everywhere, not just in Michigan but what a travesty if we were all thinking that countdown began at filing date. All my lawyer had to do was tell me and I would have been ok.

[Flamingo]

nope, no modifications no additions no nothing. We might have the same trustee. I was soooo bummed. I have until November now. But the 1 good thing is that she sent me her "who does what" and highlighted her number on it so I can call her directly on November 3rd. She told me she would send out the stop payment order that day!!!!

I believe that it is like that everywhere, not just in Michigan but what a travesty if we were all thinking that countdown began at filing date. All my lawyer had to do was tell me and I would have been ok.

I believe this is something you are going through in your area and that you will receive a refund of payments made after your 36 month mark and your plan audited. I am going to check today with my "buds" at the law firm next to us that handles BKs. My Plan (old law) was specific as to amount of payments, time ending, etc. and at month 55 of our original Plan, we were instructed to initiate refinancing to pay off the Plan at month 60. We, however, bought out early in 4/06 instead of at 60 months at 5/06. Our 341 was in June 06 and confirmed in September 06. In the interim, here is info you may be interested in and others reading.