Direct Payments Made by Creditors for Secured Claims

Upon confirmation of a Chapter 13 plan, any secured debt in which a debtor is making direct payments the following will occur:

1. The automatic stay under 11 USC 362 and 11 USC 1301 is terminated as to the collateral of the secured debt.
2. The claim will not be discharged.
3. The trustee will not monitor the Debtor’s performance on direct payments to the creditor.
4. The Debtor must pay the claim without any modification to the terms of the contract.

Please call me today at (801) 432-8682 to discuss your specific situation and how Bankruptcy may be right for you.