I'm currently almost half through a 100% 13 plan. Because the trustee gets a percentage, would there be way to modify plan to take mortgage out of it to reduce payback (trustee's percentage)? I had the mortgage inside the plan due to foreclosure threat, but it has been caught up for several months now. I may contact lawyer this week about it anyway... Thoughts?
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Filed 11/08, confirmed 5/09, 60 months - 100% Expect completion in May 2013 (@month 54) -
Some districts require that a mortgage is paid within the plan while others don't regardless of arrears...you may want to find out what the situation is in your area.
Also, how much in real $$ is the Trustee's commission on your mortgage each month? Is it really worth the effort midway through the Ch.13? Furthermore, if you're in a 100% payback plan, the extra DMI would go to creditors and not back to you...
My $0.02 only...
Good luck.No person in their right mind files a Ch. 13 with lien strip pro se. I have.Therefore, please consider me insane and clinically certifiable when reading my posts, and DO NOT take them as legal advice of any kind.Thank you. -
I wouldn't advise it. One of the main purposes of a 13 is to protect your house, and paying the mtg outside of the plan defeats that purpose. You never know what the future will bring... you may be unemployed 3 months from now and wish it was still inside the plan.Comment
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I agree with shark, if you save the trustee's fee it will go to your unsecured creditors.filed chapter 13..confirmed...converted to chapter 7...DISCHARGED!Comment
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I think ShooFly had the best advice. In a 100% plan the unsecureds are already getting paid so they would not get more. I think in my case it's a trade-off between the trustee payment versus protection of the asset. Thanks everyone!Filed 11/08, confirmed 5/09, 60 months - 100% Expect completion in May 2013 (@month 54)Comment
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The house is protected by the automatic stay whether the mortage is paid directly or through the plan. Is your point that the OP is more likely to default on the mortgage if it is paid outside the plan?Originally posted by ShooFly View PostLadyInTheRed is in the black!
Filed Chap 13 April 2010. Discharged May 2015.
$143,000 in debt discharged for $36,500, including attorneys fees. Money well spent!Comment
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Wasn't an option with us-we had to include our mortgage, despite the fact that we will be paying it directly and we were never behind on it...5 Year Countdown of Chapter 13 plan:
February 2011: 2 months down....only 58 to go
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