Q: trying to pay bankruptcy off early is the 36 months base off of the file date/the first payment date or petition date?
Just want to make sure I don't pay my bankruptcy of to early and be penalized for doing so.
A:
You should contact your bankruptcy attorney. If you do not have one, now is the time to hire one. The order confirming your plan will show your plan base. As an example, if your plan payment is $100 for 36 months then the plan base is $3,600.00.
You committed to paying all disposable income into your plan for 36 months when you confirmed your plan. If your plan is paying 100% to unsecured creditors, you should have no problem paying off early. If you are not paying 100% to unsecured creditors then paying off early becomes a problem. In the example, if the debtor paid in $3,600 in the first two years of the plan, they would still have to pay for another 12 months or until the unsecured creditors are paid in full whichever comes first.
Contact your bankruptcy attorney and let them know what you want to do. If you do not have one, contact a local bankruptcy attorney and schedule a consultation. You can search for an attorney using the Justia "Find a Lawyer" link at the top of this page.
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