§ 54.4     “No-Costing” Payments on a Claim
Cite as:    Keith M. Lundin, Lundin On Chapter 13, § 54.4, at ¶ ____, LundinOnChapter13.com (last visited __________).

Though there are no reported cases on the subject, it has been reported anecdotally that some Chapter 13 trustees will waive the percentage fee with respect to the payment of specific claims. For example, when the plan proposes to make a large monthly mortgage payment through the Chapter 13 trustee, some trustees waive the percentage fee on the mortgage claim while collecting a standard fee on all other amounts received in the case. Sometimes larger monthly support payments are handled on a no-cost basis. Waiver of the percentage fee on a claim-by-claim basis is possible only when the Chapter 13 trustee has sophisticated data processing and when the program is large enough that no-costing of some payments does not affect overall administration.