This page provides basic background information regarding Chapter 13 of the Bankruptcy Code. It should not be interpreted as providing professional advice for your particular circumstance. Such advice should be sought from a professional, such as an attorney, who will become familiar with your particular situation and objectives.
Chapter 13 is part of the Title 11 of the U.S. Code, particularly Sections 1301 through 1329.
A Chapter 13 bankruptcy is also called a wage earner's plan. It enables individuals with regular income to develop a plan to repay all or part of their debts. Under this Chapter, debtors propose a repayment plan to make installments to creditors over three to five years.
The Chapter 13 Trustee evaluates the case and serves as a disbursing agent by collecting payments from the debtor and making distributions to their creditors.
Debtors are required to file all of the documents required under the Bankruptcy Code and the corresponding Rules. One of the most important documents in a Chapter 13 filing is the Chapter 13 Plan. The Plan designates how the debtor will fund the plan and how that funding will be distributed to the creditors.
Your first plan payment is due within 30 days of filing your case - do you not wait until after your Meeting of Creditors to start plan payments. You are also expected to make a plan payment each month. Consult your attorney for more specific details regarding your particular case.
Generally, plan payments are due at the beginning of the month and delinquent after the last day of the month.
The only two ways to make your plan payments are (1) through U.S. Mail to our lockbox located in Memphis, TN or (2) electronically using the TFS system. The address to mail your monthly payments is Jack N. Zaharopoulos, Chapter 13 Trustee, PO Box 6008, Memphis, TN 38101-6008. If making an electronic payment via TFS, please click here.
If you have an attorney, send the tax return to him or her. If you do not have an attorney, email the tax return to email@example.com
The Trustee or any other interested party can file a motion to dismiss your case if you fall behind more than a month. You have several options to cure the arrearage so you should discuss these options with your attorney. Do not hide from your attorney or avoid his or her attempts to contact you. They are there to help you, not yell at you.
If you are not making your payment electronically, payments cannot be delivered by any method other than regular mail via the US Postal Service since we use a Post Office Box. Overnight and certified mail should be avoided since they require special handling and therefore may slow the processing of the payment. If you are in this situation, contact your attorney immediately so appropriate arrangements can be made to avoid dismissal of you case. In any event, do not assume that a hearing on a Motion to Dismiss is cancelled because you have a pending payment or made payment shortly before any scheduled hearing. Contact your attorney should you have any questions.
You should keep a copy of your Chapter 13 Plan to answer this question. You are also able to monitor your plan payments and disbursements to creditors through the National Data Center and trustee13.com. Links to both of these services are located on the right information panel of this page.
Consult your attorney. While such purchases are not forbidden, they must be conducted in an appropriate manner. Your attorney knows your situation and can assist you in getting the necessary approvals.