All funds available for unsecured claims after the 36th payment shall be paid to satisfy Class I claims . The Trustee's office needs to know the source of the funds and it is helpful to indicate that in the text. In the event such proof cannot be provided, in whole or in part, the debtors shall pay to the Trustee for distribution through the Plan, a sum equal to the difference between the charitable contributions listed on Schedule J and those contributions which can be proven. As a condition to confirmation, the debtor will assist the Trustee in obtaining the tolling agreement. In agreement for the right to continue repaying a 401K loan during the life of the Plan, Trustee for distribution through the Plan after all payments required under the first 36 months of the Plan have been satisfied.
Debtors often wish to retain all, or a portion of a particular year's tax refund.
Such requests must be accompanied by a specific request detailing why it is reasonable and why it is necessary. In most instances these funds will need to be paid into the plan even though the payment has been temporarily excused or deferred due to extraordinary circumstances. This request will be handled case by case, but in virtually all cases, those with earned income credit from the IRS will have very slim budgets. Capturing EIC in those circumstances will likely make the plan so difficult that the debtors will fail. In some instances attorneys feel it necessary to begin immediate adequate protection payments on collateral that is being paid through paragraph 2b.