§ 39.9     11 U.S.C. § 1326: Payments into Plan
Cite as:    Keith M. Lundin, Lundin On Chapter 13, § 39.9, at ¶ ____, LundinOnChapter13.com (last visited __________).
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As extensively rewritten by the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 (BAPCPA),1 § 1326 requires the debtor to commence making payments not later than 30 days after the filing of the plan or the order for relief, whichever is earlier.2 The payments that must commence within 30 days include payments on leased personal property and payments that provide adequate protection to the holders of allowed claims secured by personal property—with enigmatic conditions and limitations.3 Section 1326(b) contains important provisions about payment of priority claims and trustee fees. Section 1326(c) requires the trustee to make payments to creditors under the plan, unless the plan or confirmation order provides otherwise.4 Section 1326(d), added by BAPCPA, strangely permits the recovery of certain trustee compensation notwithstanding discharge in a prior bankruptcy case.5


 

1  Pub. L. No. 109-8, 119 Stat. 23 (2005).

 

2  Of course, this new statutory rule in 11 U.S.C. § 1326(a)(1) means that payments must commence no later than 30 days after the petition in a Chapter 13 case. See §§ 43.1 [ First Test of Debtor’s Good Intentions ] § 44.1  First Test of Debtor’s Good Intentions, 43.2 [ Timing and Form of Payment ] § 44.2  Timing and Form of Payment and 401.1 [ Preconfirmation Payments ] § 44.6  Preconfirmation Payments after BAPCPA.

 

3  See §§ 401.1 [ Preconfirmation Payments ] § 44.6  Preconfirmation Payments after BAPCPA, 404.1 [ Adequate Protection before Confirmation ] § 47.2  Preconfirmation Adequate Protection after BAPCPA, 426.1 [ Adequate Protection Rights before Confirmation ] § 57.3  Preconfirmation Adequate Protection Rights after BAPCPA and 427.1 [ Preconfirmation Rights of Landlords and Lessors ] § 57.4  Preconfirmation Rights of Landlords and Lessors after BAPCPA.

 

4  See § 59.1 [ Make Payments to Creditors Unless Plan or Confirmation Order Provides Otherwise ] § 53.10  Make Payments to Creditors Unless Plan or Confirmation Order Provides Otherwise.

 

5  See 11 U.S.C. § 1326(d), discussed in §§ 402.1 [ Disposition of Preconfirmation Payments ] § 44.7  Disposition of Preconfirmation Payments after BAPCPA and 556.1 [ Chapter 7 Trustee Compensation: § 1326(d) ] § 159.9  Chapter 7 Trustee Compensation: § 1326(d).