Brookfield, IL asked in Bankruptcy for Illinois

Q: WHat are customary charges by lenders for arrears claim reporting in a ch13 ?

I am 4 mos in arrears and am thinking of doing ch13 -w/ a bk attny of course - and I wondered what the typical/customary juice and fees wd be from the lenders . I spoke w/ one bk attny who put 11.6 pct (582 of 5000 in 4 mos of back payments), and another one who estimated 50 pct ( 2500) then revised the estimate to 1000 ( 20 pct), so there is a wide variation and I wondered if it a good idea to put it into the plan. Is this governed at all by regulations? WHat wd stop a lender from charging 75 pct , 100 pct etc? I cannot believe I am seeing the pctgs that I have noted above ( 12, 20 and 50).

Related Topics:
Lawyers: To answer this question, please Log In to your account.
1 Lawyer Answer
Answered
  • Bankruptcy Lawyer
  • Moline, IL
  • Licensed in Illinois

A: In general, the amount to be paid on the arrearage through the plan would be the amount it would take to become current on the loan.

Justia Ask a Lawyer is a forum for consumers to get answers to basic legal questions. Any information sent through Justia Ask a Lawyer is not secure and is done so on a non-confidential basis only.

The use of this website to ask questions or receive answers does not create an attorney–client relationship between you and Justia, or between you and any attorney who receives your information or responds to your questions, nor is it intended to create such a relationship. Additionally, no responses on this forum constitute legal advice, which must be tailored to the specific circumstances of each case. You should not act upon information provided in Justia Ask a Lawyer without seeking professional counsel from an attorney admitted or authorized to practice in your jurisdiction. Justia assumes no responsibility to any person who relies on information contained on or received through this site and disclaims all liability in respect to such information.

Justia cannot guarantee that the information on this website (including any legal information provided by an attorney through this service) is accurate, complete, or up-to-date. While we intend to make every attempt to keep the information on this site current, the owners of and contributors to this site make no claims, promises or guarantees about the accuracy, completeness or adequacy of the information contained in or linked to from this site.