What happens if my bankruptcy trustee isn't making the payments to my creditors?
I am in chapter 13 bankruptcy that was confirmed in February. I have made all the required payments to my trustee since I filed last September. She has NOT made a payment to my mortgage company since March and now they want to forclose on my property. I gave my attorney all the payment receipts to prove I made them. Are there any repercussions to the trustee for not making the payments? She has over $6,000 of mine that she hasn't paid to my mortgage company. What can we do?
Asked By: leisa_k - 7/11/2009
Best Answer - Chosen by Asker
Are you sure that your Ch 13 Plan calls for you to make your mortgage payments through the Plan? Some do and some don't. Some Ch 13 plans only pay mortgage arrears through the Plan (i.e., via payments to the trustee) but call for the debtor to make regular ongoing mortgage payments directly to the mortgage company. It... More
Answered By: rpg - 7/11/2009
Additional Answers (1)
The mortgage compnay has to go through the court to even think about foreclosing (assuming the mortgage & property were a part of the bankruptcy case). They should not be contacting you directly (unless the Court has given them specific permission to) - that is against federal law. If you meet the requirements and... More
Answered By: jimmyjohn - 7/12/2009
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