Q: I am currently in a chapter 13 plan which will end on 4/28/20 in the state of Michigan.
I have made all of my payments, in fact I have made 63 payments in a 5 yr plan they started taking payments on my filing date, since my plan will be done 4/28/20, do I still have to give up the 2020 stimulus, I have not received yet and not sure when I will receive it. I have read all of the information that seems to change daily on this matter with chapter 13 debtors, so it is unclear if I have to give this up. I have 1 payment left to make. Any information on this would be great, I need a straight answer. I am not currently in a hardship, but that soon may change if the stay at home orders continue. Thank you.
A: If you meet all the other requirements, you should receive your stimulus check without interference from the trustee.
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A: The answer depends upon the terms of your plan and when you completed your plan. If you are in a 60-month plan, the 60 payments start on the date the plan is "confirmed", not from the date you file or the date you make your first payment. Your plan dictates what is to be paid to the Trustee. It is common that your plan requires you to make a fixed monthly payment and turn over all or a portion of your income tax refunds. If your plan is like this, then the plain language of your plan doesn't authorize the Trustee to claim your stimulus payment. I'm not aware of any plan that requires that you turn over other payments and these stimulus checks were not foreseen, so you have a good argument that these payments are yours. Also, the Trustee is not going to issue garnishments. Finally, If your plan proposes to pay 100% of your unsecured (credit card / medical) debt, and you have made all your payments and all unsecured claims have been paid, or will be paid before the 60 post-confirmation payments are made, the Trustee will likely not request you turn over the stimulus check. Confer with your Chapter 13 attorney.
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