[mollyc27]

We have been in Chapter 13 for 4 years now and I cannot begin to explain the depths to which we have gone even FURTHER in debt due to our attorney and the trustee either not paying items included in our payment plan or being completely unresponsive to our or financial institutions request for information. Is there anything we can do at this point to get us dug out of the hole that the Chapter 13 disfunction has put us in at this point?

[Fr_Chuck]

1. No you can not go further into debt as long as you listed all of the debts. The trustee pays them according to certain schedules, some lenders get paid first and others toward the end of the plan, they can not continue to attempt to collect any debts from you, and can not even contact you for payments after you file ( so the lenders are breaking the law even contacting you)

Once there is a final discharge of the chapter 13, all the debts listed are discharged and you will owe them nothing.

Next your financial instituions unless it is a re-affirmed debt can not request any info from you, they were served, had their chance in court to fight the plan, after that they can only contact you're the trustee for payments and as long as you are paying according to the plan, they can do nothing to you.

If the lender did not respond and confirm their debt at the time of the bankrutpcy hearing where the plan was approved, the lender may well not be paid, since they only had a number of days to confirm the debt to be included into the payment plan.

You must be misunderstanding, or something, since what you are describing can not happen.

[mollyc27]

1. no you can not go further into debt as long as you listed all of the debts. The trustee pays them according to certain schedules, some lenders get paid first and others toward the end of the plan, they can not continue to attempt to collect any debts from you, and can not even contact you for payments after you file ( so the lenders are breaking the law even contacting you)

Once there is a final discharge of the chapter 13, all the debts listed are discharged and you will owe them nothing.

Next your financial instituions unless it is a re-affirmed debt can not request any info from you, they were served, had thier chance in court to fight the plan, after that they can only contact your the trustee for payments and as long as you are paying according to the plan, they can do nothing to you.

If the lender did not respond and confirm thier debt at the time of the bankrutpcy hearing where the plan was approved, the lender may well not be paid, since they only had a number of days to confirm the debt to be included into the payment plan.

You must be misunderstanding, or something, since what you are describing can not happen.

I must not have explained it well enough.
The reason I'm in debt is because the Ch13 trustee will not approve a mortgage so we're renting and getting penalized (or rather, not benefiting from the mortgage) when filing taxes... so we're owing thousands in taxes each year now. But that's a different issue.
The Chapter 13 trustee is the one who is not sending the $ to lenders in the plan. The financial institutions have filing papers with the court requesting the funds be released, as the trustee has not paid the plan amount in over 3 years... which is now charging us interest and penalties that our attorney says we are responsible for.

My husband and I are counting down the days until the Ch13 is completed, but at this point we are somewhat worried about the state of the debtors included in the plan. We've also been informed by another financial group included in our plan, that this same trustee (that is assigned our Ch13 case) has SEVERAL court filings against her due to no payment or underpayments from cases she is assigned.

I don't see how we can be the only people who have had issues with the trustee causing more problems (by not making payments).
I really do appreciate the advice and help in these discussion boards. I've gotten more info and help in the past 24 hours that I have in months.

[George_1950]

Can you provide a bit more info about the Ch13 Trustee not approving a mortgage? Are you trying to purchase? Why? The unpaid taxes is a separate issue, but please provide more info about that.
You should read or re-read the Section 341 Notice and the Order of Confirmation. You will see language about what the Ch13 Trustee is supposed to pay. She will not pay claims that are not properly filed and/or documented. You can request from the Ch13 a Status of Claims showing the amounts filed by creditors and the amounts paid or unpaid by the Trustee.