WHAT YOU SHOULD KNOW
ABOUT YOUR CHAPTER 13
Your Chapter 13 Trustee is:
MELISSA J. DAVEY,
STANDING CHAPTER 13 TRUSTEE
233 Peachtree Street NE
Atlanta, GA 30303
Telephone: 678-510-1444
Facsimile: 678-510-1450
www.13trusteeatlanta.com
April 2022
IMPORTANT NOTICES:
- Chapter 13 Plan Payments can be made one of the following ways:
- By Payroll Deduction/EDO- please note that you are responsible for your plan payments if the money is not being deducted from your paycheck
- Online at 13trusteeatlanta.com (Online Payments)- Via 53 Bank or TFS Bill Pay
- By Mail to:
MELISSA J. DAVEY
STANDING CHAPTER 13 TRUSTEE
Suite 2250
233 Peachtree Street NE
Atlanta, GA 30303
Payable to: Melissa J. Davey, Chapter 13 Trustee
Check or Money Order only– DO NOT SEND CASH.
MAKE SURE TO INCLUDE YOUR CASE NUMBER AND NAME.
Please visit our website: www.13trusteeatlanta.com
PLEASE REGISTER ASAP FOR ONLINE ACCESS TO YOUR CHAPTER 13 ACCOUNT AT NDC.ORG
THIS WILL ALLOW YOU TO SEE RECEIPTS AND PAYMENTS IN YOUR CASE AND TO RECEIVE INFORMATIONAL NOTICES FROM THE TRUSTEE.
Tax Returns/Tax Refunds: Your Chapter 13 Plan may require you to submit copies of your federal income tax returns for each year that you are in your bankruptcy case. You may also be required to pay over a portion of your federal income tax refund. Please ask your attorney whether this applies to you.
You may submit the returns through your attorney or the Trustee’s office by mail or email to mail@13trusteeatlanta.com. You can make refund payments in the same manner as plan payments described above, but please specify that it is a tax refund.
**FAILURE TO REMIT REQUIRED TAX RETURNS AND REFUNDS MAY RESULT IN THE DISMISSAL OF YOUR CASE. **
PLEASE NOTE THAT THE CHAPTER 13 TRUSTEE MAY NOT GIVE LEGAL ADVICE TO DEBTORS OR CREDITORS. Although sincerely interested in the success of your case, please understand that your Chapter 13 Trustee may not give you legal advice. The Trustee’s Staff may only answer administrative questions about your case.
Remember to first contact your attorney for assistance with your case and for all legal questions.
You typically need permission from the Bankruptcy Court to:
- Sell or transfer any real or personal property
- Borrow money/take out any new loans including student loans, credit cards, retirement loans
- Refinance any debt, modify any loan
- Excuse or suspend any plan payments
- File or settle a lawsuit or claim or hire an attorney other than your bankruptcy attorney
Please contact your attorney immediately if:
- Your income increases or decreases
- You inherit or obtain a lump sum of money
- You are planning to or would like to sell any real estate or personal property
- You are involved in a car accident or have a personal injury, worker’s compensation, or other claim or lawsuit
- Any unanticipated event affects your ability to make your required Chapter 13 Plan payment.
THE CHAPTER 13 TRUSTEE AND HER STAFF WISH YOU THE BEST OF LUCK IN YOUR CASE AND IN OBTAINING A FRESH START. CHAPTER 13 IS A DIFFICULT PROCESS WHICH TAKES FULL COMMITMENT. PLEASE BE SURE TO READ ALL DOCUMENTS RELATED TO YOUR CASE AND TO CONTACT YOUR ATTORNEY IMMEDIATELY ABOUT ANY ISSUES AFFECTING YOUR ABILITY TO COMPLY WITH YOUR PLAN.
SIGN UP FOR ONLINE PAYMENTS TODAY!
Don’t delay. If you will be making your own plan payments, we offer two options to make payments online, specifically TFSBillPay or 53 Bank EPay.
Why?
ü It’s Easy and Payments May Post Faster
ü It will save you time
ü It will save you postage
ü You can be alerted when payments post
How do I sign up?
Visit www.13trusteeatlanta.com
Select Online Payments Tab and then select link for either TFSBillPay or 53 Bank EPay and follow instructions to sign up.
Need to call online payment vendors?
– TFSBillPay 888-PAY-CH13 (888-729-2413)
– 53 Bank EPay – (1-855-924-2440) to pay by phone
**Note: Service fees apply for online payments. See details online.**
If you have had a prior payment returned for insufficient funds (NSF) and want to make online payments, you may still pay online via TFSBillPay.
ABOUT CHAPTER 13: In a Chapter 13 Bankruptcy Case, you (the “Debtor”) propose a repayment plan, whereby you make monthly payments to your creditors based on your ability to pay, your assets, and other legal requirements. A Chapter 13 Plan typically lasts between 3-5 years. The role of the Chapter 13 Trustee is to administer the payments to your creditors and to ensure that your Plan complies with the Bankruptcy Code. The Bankruptcy Court must approve (“confirm”) your plan before it becomes effective. If your confirmed plan is successful, you may be entitled to a discharge of your debts at the end of your case.
CREDIT COUNSELING: In order to be eligible for Chapter 13, you must have completed an approved credit counseling program within the 180 days BEFORE filing your bankruptcy case. The certificate of credit counseling must be filed with the court. If not, your case may be dismissed.
PERSONAL FINANCIAL MANAGEMENT COURSE REQUIREMENT: You are required to attend a financial management course before you will be entitled to receive a discharge of your debts. Please speak with your attorney to learn where and how you may obtain this education. The financial management course is different from and is in addition to the credit counseling that you received before you filed your bankruptcy case.
TAX RETURNS: If you are required to file tax returns, you must have filed all returns for the last four (4) years with the appropriate taxing authority. In addition, you are required to provide the Chapter 13 Trustee with a copy of your most recently filed return no later than at your Meeting of Creditors. You may be required to submit your tax returns on an annual basis to your trustee and/or creditors.
YOUR CASE NUMBER: When your Chapter 13 petition was filed, the Bankruptcy Court assigned your case a number. This number is very important. WRITE YOUR CASE NUMBER AND YOUR NAME ON ANYTHING YOU SEND to the Trustee’s office, the Clerk of the Bankruptcy Court, or any other party, including any payment you make to the Trustee.
CHAPTER 13 COSTS: Each Chapter 13 case has three costs other than what is owed to your creditors:
- Court Costs: The filing fee must be paid to the Bankruptcy Court to begin the case. Sometimes, the Court will allow you to make the fee in installment payments. DO NOT SEND YOUR FILING FEE TO THE TRUSTEE’S OFFICE. FAILURE TO PAY THE FEE ON TIME TO THE COURT COULD RESULT IN DISMISSAL OF YOUR CASE.
- Chapter 13 Trustee’s Statutory Fee: By law, the Chapter 13 Trustee is required to charge a fee as a percentage of the money paid into the case. This fee will vary during your case but will be no higher than 10% by law.
- Your Attorney’s Fees: Your attorney’s fees should be set forth in your Chapter 13 plan, schedules and in your attorney fee agreement. In many cases, the Chapter 13 Trustee will pay the attorney fees over time from your plan payments. Your attorney should have explained to you how much the legal fees will be and how those fees will be paid. In most cases, your attorney will be paid through your Chapter 13 plan. Be sure that you have specifically discussed whether additional legal services during your plan will cost you more money or whether the initial fee will cover all legal services. All fees charged by your attorney must be reviewed and approved by a Bankruptcy Court Judge, even if you have agreed to pay those fees.
PRO SE DEBTORS: You have the right to represent yourself and handle your own Chapter 13 case. However, if you are pro se (without a lawyer), the Chapter 13 Trustee strongly recommends that you hire an attorney. The Chapter 13 Trustee is not your attorney and cannot give you legal advice. Please look on our website for a list of attorneys willing to take on pro se cases. Please note that this list is provided by the Metropolitan Atlanta Consumer Bankruptcy Attorneys Group as a courtesy resource for pro se debtors seeking legal counsel. We do not recommend any particular attorney on the list.
YOUR ATTORNEY: When your attorney agreed to represent you and signed your petition with you, your attorney became obligated to appear and represent you throughout your Chapter 13 case. Your attorney must continue to appear on your behalf so long as your case is active. Of course, you have the right to change attorneys. In addition, your attorney may withdraw from your case, with Bankruptcy Court approval, under certain circumstances.
YOUR ADDRESS: The Chapter 13 Trustee and the Bankruptcy Court must have your exact mailing address as long as you are in your case. All notices or papers filed in your case will be sent to you at the address listed in your bankruptcy petition. If you move or change your mailing address, you must inform your attorney, the Trustee, and the Bankruptcy Court, in writing, of your new address.
CALLS TO THE TRUSTEE’S OFFICE: Your Chapter 13 Trustee’s name, address, and phone number are on the front of this booklet. The Trustee’s office hours are 8:00 a.m. to 4:30 p.m., Monday-Friday excluding federal holidays. Customer service agents will be available to answer the phone between the hours of 10am- 3 pm daily. PLEASE NOTE THAT OUR OFFICE IS CLOSED TO THE PUBLIC AT THS TIME.
If you have a question that your attorney cannot answer regarding administration of your case, you may ask the Trustee by sending an email to mail@13trusteeatlanta.com. PLEASE MAKE SURE TO SIGN UP FOR ONLINE ACCESS TO YOUR CASE AT NDC.ORG SO YOU CAN THE FINANCIALS AND CLAIMS IN YOUR CASE.
EMPLOYER DEDUCTION ORDERS: Generally, a Court Order sent to your employer requires Chapter 13 payments to be made through deduction from your paycheck and sent directly to the Chapter 13 Trustee. If you change jobs at any time during your case, please notify your attorney immediately so that a new Employer Deduction Order (EDO) can be presented to your new employer. It is important that both you and your employer understand that an Employer Deduction Order is not a garnishment. The Bankruptcy Code permits a Bankruptcy Court to issue an Employer Deduction Order as an aid in the efficient administration of Chapter 13 cases.
ONLINE TRUSTEE PAYMENTS: In some cases, the
Court may allow plan payments to be made by you directly to the Trustee instead of by Employer Deduction Order. If you make a plan payment personally, we encourage you to make your payment online using either TFS or EPay system. TFS also offers payments via MoneyGram. Visit www.13trusteeatlanta.com for more details. If you choose to mail us your payment, do so by money order, personal check, or cashier’s check. Be sure to include your name, address and your Chapter 13 case number on the check. DO NOT SEND CASH. The Chapter 13 Trustee’s Office will accept your personal check as long as one has not previously been returned by your bank.
We encourage you to make your payments online using TFSBillPay (www.TFSBillPay.com) or 53 Bank EPay system. Visit www.13trusteeatlanta.com for details on both options and their service fees.
OBLIGATION TO PAY: Even though the Bankruptcy Court will usually order your employer to deduct plan payments from your paycheck and send them to the Trustee, you have the obligation to ensure that all payments are made. If your employer ever fails to make a plan payment deduction, you must tell your attorney that the deduction was not made and YOU must send the plan payment due to the Trustee online or by mail via money order, personal check, or cashier’s check. You should keep your pay stubs to show that your employer is deducting the payments. If a payment is not received by the Trustee, as required by your Chapter 13 plan, any creditor in your case may ask the Court to dismiss your case. The Trustee will ask the Court to dismiss your case if you fail to make the required payments.
DO NOT ATTEMPT TO PRE-PAY YOUR CHAPTER 13 CASE OR MAKE ANY LUMP SUM PAYMENTS INTO YOUR PLAN WITHOUT DISCUSSING WITH YOUR ATTORNEY.
PROBLEMS MAKING YOUR PLAN PAYMENTS: If you are not able to make your regular plan payments because of illness, loss of job, family emergency, or other serious problem, you should inform your attorney immediately. Under some circumstances, you may be able to stop payments for a short time with permission from the Court or amend your plan to provide for a modification of its terms. These requests must be made to the Bankruptcy Court and not to the Trustee.
CHILD SUPPORT AND/OR ALIMONY (DOMESTIC SUPPORT OBLIGATIONS): For your plan to be confirmed, your plan must typically propose to pay all domestic support obligations (due at the time of filing and during the life of the plan), although creditors may consent to be paid over a longer time period. Your domestic support obligations (DSOs) must be paid on time and kept current and you must certify that fact at the conclusion of your case in order to receive a discharge of your debts.
MORTGAGE PAYMENTS: Mortgage payments that come due after your case is filed must be made directly to those creditors, unless your Chapter 13 plan provides otherwise. Please keep proof of these payments. If you are unable to make your mortgage payments, you should contact your attorney. You should notify your attorney before seeking a forbearance or loan modification so they can seek proper Bankruptcy Court approval.
REQUEST FOR DISMISSAL BY THE TRUSTEE OR A CREDITOR: If you fail to make the plan payments to the Trustee or do not do what is required under your Plan, the Trustee or creditors may ask the Court to dismiss your case.
REQUEST FOR DISMISSAL BY YOU: You typically have the right to dismiss your own case, except in certain circumstances such as if you have already converted your case from another Chapter of the Bankruptcy Code. Always contact your attorney for advice before voluntarily dismissing your Chapter 13 case because it could impact your ability to file again. Any request for dismissal of your case must be filed with the Bankruptcy Court.
AUTOMATIC STAY: Due to the automatic stay, creditors listed in your case may be prohibited from contacting you regarding your debts. While the automatic stay is in effect, you are under no obligation to discuss your debt or your case with a creditor. Please be aware that, if you have had one or more bankruptcy case(s) pending within the last year, the automatic stay may expire or may not even exist. Your attorney can advise you on the appropriate course of action if this situation applies to your case.
The dismissal of your case will also end the protection of the automatic stay. Creditors will once again have the right to collect their debts, including but not limited to, charging interest as well as imposing finance charges and late fees, repossessing a car, foreclosing on a house or garnishing your wages.
If you fail to make payments, your creditor(s) may file a motion seeking relief from the automatic stay. You will receive notice of a hearing at which you may appear and respond to the creditor’s motion. If you do not respond or appear, the Court will likely grant the motion.
DEALING WITH CREDITORS: You must list ALL CREDITORS and debts on the creditor mailing list and in your schedules of assets and liabilities. You cannot pick and choose a particular creditor and pay that creditor “on the side” or “outside of the plan” because ALL of your debts must be dealt with through the Bankruptcy Court. You may not receive a discharge of the claim of any creditor not listed. Therefore, carefully review your schedules and the creditor mailing list filed by your attorney to make certain that all of your creditors are listed, the addresses shown are accurate, and all debts are listed. If you become aware of an unlisted creditor (one you owe but forgot to list), you should let your attorney know the details immediately.
TRUSTEE STATUS REPORTS: The Trustee’s Office will mail you a status report once a year. It is very important for you to review this report with your attorney so that your attorney can promptly file objections to any incorrect claims and/or modify your Chapter 13 plan, if necessary.
CLAIMS OF CREDITORS: Each creditor you list in your plan and schedules may file a claim for payment, but they must do so within 70 days of the petition date/conversion date. Claims filed by governmental units must be filed within 180 days after you filed your Chapter 13 petition. However, taxing authorities may have additional time to file Proofs of Claim for taxes.
When you receive the annual status report from your Trustee, you should read and examine this report very carefully with your attorney. If a creditor’s name is listed incorrectly or any amount claimed appears to be incorrect, or if you dispute the claim for any other reason, your attorney will be able to advise you as to whether it may be appropriate to object to the claim or modify the plan.
HOW CREDITORS ARE PAID: The money that you pay to the Trustee is used to pay expenses of administration, (including Trustee fees, and payments to your attorney) and the claims of your creditors. The Trustee pays all claims according to your Chapter 13 plan. You can also review the Trustee’s records in your case at any time online by setting up an account at www.ndc.org.
INSURANCE: Secured property that is collateral for a loan (such as a car or house) must be insured. Generally, if you want to keep your secured property while your creditors are being paid through your Chapter 13 plan, you must make certain that the insurance premiums are paid on time. The secured creditor must be listed as lien holder and loss payee on all insurance policies and binders.
The Bankruptcy Court has a separate rule requiring you to keep vehicles insured at all times. If you let insurance lapse on any vehicle (car, truck, van, or motorcycle, etc.), the secured creditor may request, and the Court may enter an order, allowing repossession, without notice or a hearing. Keep your insurance policies handy should any creditor ever request proof of insurance or allege that your insurance has lapsed.
DISCHARGE OF DEBTS: When you have successfully completed your plan payments, you will receive notice from the Bankruptcy Court about your discharge. To receive a discharge at the end of your case, all domestic support obligations must be paid and/or current. You must provide the Court with a certificate verifying that all such payments have been made. In addition, you must have completed a personal instructional financial education course and provide verification of the successful completion of such course. This course requirement is not the same as the credit-counseling course you received prior to the filing of your case. If you have any questions regarding these requirements, please contact your attorney.
You may not be eligible to receive a discharge in your current Chapter 13 case if you have received a discharge in a previous bankruptcy case. Please discuss your eligibility for a discharge with your attorney. Please note that a discharge is vastly different from a dismissal.
POST-PETITION DEBTS (POST-FILING DEBTS): Creditors with claims arising after you filed your Chapter 13 case are called “post-petition creditors.” You are not permitted to borrow money or use credit cards while in Chapter 13 unless you obtain Court approval. You may not borrow from a finance company, bank, or credit union, or receive an advance of your salary. You cannot buy anything over time, like a car or an appliance. You cannot sign, co-sign, or guarantee an installment note or use credit cards.
If you need to borrow money for any reason during your Chapter 13 case, you must first obtain approval from the Bankruptcy Court. Your request may be approved if you are paying regularly into your Chapter 13 plan, if there is a good reason to incur the debt, and if your ability to pay your plan payments will not be threatened. You may also consult with your attorney regarding filing a Motion to Incur Debt.
Any credit purchase you make without approval is improper and the Bankruptcy Court may require you to return the purchased goods, may dismiss your case, or both. You will place your plan in serious jeopardy if you obtain credit without prior approval.
SELLING OR TRANSFERRING PROPERTY: You may not sell any of your property, including land, without prior Court approval. If you sell your property without permission, the sale may be set aside. If you want to sell any of your property, trade in a car, or sell your home, be sure to discuss it with your attorney to obtain prior Court approval.
CLAIMS FOR MONEY DAMAGES OR LAWSUITS: If you have any type of claim for money damages, personal injury, employment discrimination, workers’ compensation, social security benefits, or any other type of legal claim or lawsuit, either before or after the filing of your case, you cannot receive money or settle before obtaining the approval of the Bankruptcy Court. Thoroughly discuss any legal matter with your bankruptcy attorney and make sure your non-bankruptcy attorney knows about your Chapter 13 case. Your non-bankruptcy attorney cannot receive any fees for representing you unless approved by the Bankruptcy Court.
ONE FINAL WORD: Complying with a Chapter 13 plan is not easy. You will likely have to make a real sacrifice to meet the obligations that you have specified in your plan and still live within your Chapter 13 budget. Thousands of families have successfully completed Chapter 13 plans in the Northern District of Georgia. Here are a few tips to give you the best chance of succeeding:
- Closely monitor your plan payments at
NDC.org
- Stay in contact with your attorney and the Court about any issues affecting your ability to make your plan payments or other payments such as mortgage payments or child support payments
- Read all documents that you receive about your case
- Refer to this booklet and/or the Trustee’s website with general questions about what is required of you
Best of Luck in gaining your fresh start!
NOTICE:
CHAPTER 13 BANKRUPTCY CASES AVAILABLE ON THE INTERNET TO YOUR CREDITORS AND OTHER PARTIES IN INTEREST
Pursuant to 11 U.S.C. § § 1302(b) and 704(a)(7), your Chapter 13 Trustee has a duty, unless otherwise ordered by the bankruptcy court, to furnish information concerning the administration of your bankruptcy case as is requested by parties in interest.
In furtherance of this duty, the Chapter 13 Trustee will make the following information available to parties in interest who request such information:
- Your name, bankruptcy case number, state and the district in
which your case is pending. Your social security number will not be visible to parties in interest, but they will be able to search for your bankruptcy case by using the last 4 digits of your social security number. Additionally, we will not display your employer’s name.
- Information regarding claims filed against your bankruptcy case including the identity of the claimant, the type of claim (e.g. priority taxes, secured claims or unsecured claims), and the claim amount will be available online.
- A history of all payments you make to the Chapter 13 Trustee in your bankruptcy case, including the date and amount of each payment.
- A history of all disbursements to creditors made by the trustee in your bankruptcy case will also be available. The disbursement history will include the date of the disbursement, the payee and the amount paid.
You may review, without charge, information about your bankruptcy case that is posted on the internet. If you believe the information about your bankruptcy case is not accurate, you can contact NDC to report the error. You should receive a written response from NDC within (30) days following receipt of such report.
The URL address where your information is posted is www.ndc.org. The website is operated by the National Data Center, Inc. (NDC). You can contact the NDC by telephone at 866-938-3639.