Local Rule 3070-1: PLAN PAYMENTS IN CHAPTER 13

RULE 3070-1. PLAN PAYMENTS IN CHAPTER 13.

(a) Payments to the Chapter 13 Trustee.

(1) Chapter 13 debtors are required to: (A) make plan payments through direct wage deductions, TFS bill pay (TFS), or a similar payment method that results in an electronic credit to the chapter 13 trustee's account, unless the debtor obtains a Court order waiving the requirement for cause based on exigent circumstances; and (B) specify the form of payment in Part 2.2 of the plan and Local Form 8.

(2) Unless the Court waives the above requirement, a debtor must obtain an order implementing direct wage deductions, TFS, or similar payment method to be eligible for plan confirmation.

(3) Until a payment order is in effect, the debtor must make all plan payments in the form of a cashier's check, certified check, bank draft, or money order payable to the "Chapter 13 Trustee," and deliver the payments directly to the chapter 13 trustee at the address that the trustee designates.

(4) The face of the payment instrument, as well as any electronic payment, must include the debtor's name and bankruptcy case number.

(b) Minimum Plan Payment Amount. Every chapter 13 plan must require the debtor to make a payment of at least $50 each month the case is pending unless the Court waives this requirement.

(c) Payment of Trustee Commission on Dismissal or Conversion. When a chapter 13 case is dismissed or converted to another chapter prior to confirmation of the debtor's plan, the chapter 13 trustee shall collect as compensation the percentage fee pursuant to 28 U.S.C. § 586(e) from any plan payments the debtor has made.