NATIONAL PLAN INSTRUCTIONS

NATIONAL PLAN INSTRUCTIONS

CAPTION REGARDING INFORMATION IDENTIFYING YOUR CASE

IF AMENDED PLAN NEED TO LIST SECTIONS OF PLAN THAT HAVE BEEN CHANGED

NATIONAL PLAN

Check if this is an amended plan, and list below the sections of the plan that have been changed. _________________________________ _________________________________

NATIONAL PLAN INSTRUCTIONSPART 1: NOTICES

Just because an option is in the form does not mean it’s applicable in every situation or permissible in every jurisdiction.

Plans that do not comply with local rules and judicial rulings not confirmable.

Objections to confirmation must be filed 7 days prior to date set for confirmation hearing. See Rule 3015(f).

In Cleveland a proof of claim must be filed in order for creditor to be paid under the plan. The Debtor may need to file the claim.

Must check box INCLUDED in 1.1, 1.2, and 1.3 for provisions in plan to be effective. IF CHECK BOTH BOXES INCLUDED AND NOT INCLUDED THEN THAT PLAN PROVISION IS INEFFECTIVE

NATIONAL PLAN

The following matters may be of particular importance. Debtors must check one box on each line to state whether or not the plan includes each of the following items. If an item is checked as “Not Included” or if both boxes are checked, the provision will be ineffective if set out later in the plan.

1.1 A limit on the amount of a secured claim, set out in Section 3.2, which may result in a partial payment or no payment at all to the secured creditor

Included Not included1.2 Avoidance of a judicial lien or nonpossessory, nonpurchase‐money security interest, set out in Section 3.4

Included Not included1.3 Nonstandard provisions, set out in Part 8

Included Not included

NATIONAL PLAN INSTRUCTIONSPART 2: PLAN PAYMENTS AND

LENGTH OF PLAN

2.1 AMOUNT OF MONTHLY PLAN PAYMENTS

Fill out the dollar amount to be remitted per month

Do not use a bi‐weekly or weekly amount. Just enter the monthly amount

Should state amount of months necessary for the plan to be feasible

Include step up payments if necessary

The applicable commitment period is determined by Form 22C‐1, not the number of months in Part 2.1.

NATIONAL PLAN

2.1 Debtor(s) will make regular payments to the trustee as follows:

$ ___________ per_______ for _____ months [and $ ___________ per_______ for _____ months.] Insert additional lines if needed. If fewer than 60 months of payments are specified, additional monthly payments will be made to the extent necessary to make the payments to creditors specified in this plan.


LENGTH OF PLAN

2.2 METHOD OF PLAN PAYMENTS TO TRUSTEE In Cleveland a wage order still

required for wage earners therefore majority of cases will check the payroll deduction box. See Adm. Order 17‐3.

Can check more than one box

2.3 INCOME TAX REFUNDS Review local orders to determine

what is required. In Cleveland tax refunds are addressed in the Confirmation Order, therefore the Trustee requests that Part 2.3 reference the Confirmation Order.

NATIONAL PLAN

2.2 Regular payments to the trustee will be made from future income in the following manner:

Check all that apply. Debtor(s) will make payments pursuant to a payroll deduction order. Debtor(s) will make payments directly to the trustee. Other (specify method of payment):____________________________.

2.3 Income tax refunds.

Check one. Debtor(s) will retain any income tax refunds received during the plan term. Debtor(s) will supply the trustee with a copy of each income tax return filed

during the plan term within 14 days of filing the return and will turn over to the trustee all income tax refunds received during the plan term. Debtor(s) will treat income tax refunds as follows:

___See the Confirmation Order________


LENGTH OF PLAN2.4 ADDITIONAL PAYMENTS TO THE

TRUSTEE List date additional payments are to

be made, amount of additional payment, and source of funds

2.5 TOTAL ESTIMATED PAYMENTS TO TRUSTEE

Plan payment multiplied by number of months in 2.1 (plus additional payments stated in 2.4)

Should be same figure as Exhibit (total lines a through j)

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2.4 Additional payments.

Check one. None. If “None” is checked, the rest of § 2.4 need not be completed

or reproduced. Debtor(s) will make additional payment(s) to the trustee from other

sources, as specified below. Describe the source, estimated amount, and date of each anticipated payment. ___________________________________________________________________________________________________________ ___________________________________________________________________________________________________________

2.5 The total amount of estimated payments to the trustee provided for in §§ 2.1 and 2.4 is $ __________________.

NATIONAL PLAN INSTRUCTIONSPART 3: TREATMENT OF SECURED

CLAIMS3.1 MAINTENANCE OF PAYMENTS

AND CURE OF DEFAULT, IF ANY All mortgages are to be listed in Part

3.1, including mortgages with no arrearages and paid outside the plan, unless property is being surrendered (Part 3.5) or crammed down (Part 3.2)

Per the plan instructions, Part 3.1 is for “contractual installment payments on secured claims.” Government and judgment liens are not treated in this Part of the plan.

If more than one mortgage with same creditor need to list each mortgageseparately, with as much detail about the lien as possible (2nd mortgage, HELOC, etc.)

Estimated total payments by trustee include amount of arrearages and current installment payments made by the trustee multiplied by plan length listed in 2.1

NATIONAL PLAN

3.1 Maintenance of payments and cure of default, if any. “Contractual installment payments on secured claims”Name of creditor Collateral Current Amount Interest rate Monthly Estimated total

installment arrearage on arrearage plan payment payments bytrustee

Disbursed by: Trustee Debtor(s)


CLAIMS3.1 MAINTENANCE OF PAYMENTS AND

CURE OF DEFAULT, IF ANY (CON’T) Include arrearages on home owners

association dues but ongoing post‐petition payments paid direct by debtor (because amounts fluctuate)

Timely proof of claim controls, if proof of claim not filed timely then amounts in plan control

Interest is paid per the plan, but think carefully about whether interest is payable on any part of the arrearage (it may be payable on advances, but not on missed P&I payments, check the terms of the mortgage and the nature of the arrearages owed

If relief from stay ordered after plan is confirmed, then unless ordered otherwise all payments under Part 3.1 as to thatcollateral will cease.

Be sure to check the box to select the disbursing agent (Trustee or Debtor).


CLAIMS3.2 REQUEST FOR VALUATION OF SECURITY,

PAYMENT OF FULLY SECURED CLAIMS, AND MODIFICATION OF UNDERSECURED CLAIMS

Non 910 claims Mortgages voiding pursuant to section 506 Pay in full mortgages (find out if mortgagee

will continue with escrow) Real estate tax claims (note, this is the only

section that provides for Government claims)

Interest is paid per the plan, not per the proof of claim. Give thought to amount of interest the plan should pay on vehicle claims, mortgage claims, government claims

Government proof of claim controls the amount of the claim and the amount of the secured claim, but not the amount of the interest.

See Rule 5009(d) regarding filing a motion declaring a lien is satisfied.

NATIONAL PLAN3.2 Request for valuation of security, payment of fully secured claims, and modification of undersecured claims.

Name of creditor Estimated Collateral Value of Amount of Amount of Interest Monthly Estimated amount of Collateral claims secured rate payment total creditor’s senior claim to of total claim to creditor’s creditor monthly

claim payments


CLAIMS3.2 REQUEST FOR VALUATION OF

SECURITY, PAYMENT OF FULLY SECURED CLAIMS, AND MODIFICATION OF UNDERSECURED CLAIMS (CON’T)

See Rule 3015(g), for non‐government claims, the amount of the secured claim is binding on the holder of the claim even if the holder of the claim files a contrary proof of claim.

See Rule 3012(b) regarding proper service of a plan if want amount of the secured claim determined in plan

In Cleveland, if adequate protection payments appropriate will be same amount as listed in “Monthly payment to creditor.” See Adm. Order 17‐5


CLAIMS

3.3 SECURED CLAIM EXCLUDED FROM 11 U.S.C. SECTION 506

Hanging paragraph claims (910 PMSI car claims and 1 year PMSI claims).

No Title loans, no judgment liens, and no government claims.

3.4 LIEN AVOIDANCE Judicial liens or nonpossessory non

purchase security claims that impair exemption

No statutory liens or PMSI claims.

3.5 SURRENDER OF COLLATERAL Stay under section 362(a) terminates at

confirmation as to collateral only, however stay under section 1301 (codebtor) terminates in all respects. See confirmation order for time frame to file deficiency claims.

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3.3 Secured claims excluded from 11 U.S.C. § 506. Name of Creditor Collateral Amount Interest Monthly plan Estimated total

of claim rate payment payments by trustee

3.4 Lien Avoidance (see next slide)

3.5 Surrender of CollateralName of Creditor Collateral


3.4 Lien avoidance. Information regarding Calculation of lien avoidance Treatment of remaining secured claimJudicial lien on security interest

Name of creditor a. Amount of lien $ Amount of secured claim after avoidance (line a minus line f)

b. Amount of all other liens $ $____________________________

Collateralc. Value of claimed exemptions + $

________________________ Interest rate (if applicable) ________%d. Total of adding lines a, b, and c $

Lien identification (such as judgment date, date of lien recording, book and page number)

e. Value of debtor(s)’ interest in property − $__________ Monthly payment on secured claim____________________________ $________________________

f. Subtract line e from line d. $ Estimated total payments on secured claim$_________________________

Extent of exemption impairment (Check applicable box):Line f is equal to or greater than line a.The entire lien is avoided. (Do not complete the next column.)Line f is less than line a.A portion of the lien is avoided. (Complete the next column.)

NATIONAL PLAN INSTRUCTIONSPART 4: TREATMENT OF FEES AND

PRIORITY CLAIMS

4.1 PRIORITY CREDITORS ARE NO LONGER SPECIFICALLY IDENTIFIED IN THE PLAN AND WILL BE PAID IN FULL ON PRO RATA BASIS ACCORDING TO ANY PROOF OF CLAIM FILED

4.2 TRUSTEE FEES ARE ESTIMATES RIGHT NOW 5.5%.

4.3 ATTORNEY FEES TO BE PAID IN THE PLAN

NATIONAL PLAN

4.1 GeneralTrustee’s fees and all allowed priority claims, including domestic support obligations other than those treated in § 4.5, will be paid in full without postpetition interest.4.2 Trustee’s feesTrustee’s fees are governed by statute and may change during the course of the case but are estimated to be _____% of plan payments; and during the plan term, they are estimated to total $ _______.4.3 Attorney’s feesThe balance of the fees owed to the attorney for the debtor(s) is estimated to be $____________.

NATIONAL PLAN INSTRUCTIONSPART 4: TREATMENT OF FEES AND

PRIORITY CLAIMS

4.4 ALL PRIORITY CLAIMS (INCLUDE DSO’S)

All DSO’s must be listed on Schedule E ‐‐ Trustee must be given information to comply with 11 U.S.C. Section 1302(d)

If have arrangement with CSEA regarding arrearages being paid outside via wage deduction, need to state in Part 8

4.5 DSO’s assigned or owed to government unit (not CSEA)

Paid less than in full see 11 U.S.C. Section 1322(a)(4)

Must be a 60 month plan

NATIONAL PLAN4.4 Priority claims other than attorney’s fees and those treated in § 4.5.Check one.None. If “None” is checked, the rest of § 4.4 need not be completed or reproduced.The debtor(s) estimate the total amount of other priority claims to be ______.

NATIONAL PLAN INSTRUCTIONSPART 5: TREATMENT ON

NONPRIORITY UNSECURED CLAIMS

5.1 NON PRIORITY UNSECURED CLAIMS WITH NO SEPARATE CLASSIFICATION

In Cleveland, only the first and second box are to be checked and filled out, any other boxes completed will be subject to objection by the Trustee

Both boxes must be completed Sum amount in first box and % in

second box binding In Cleveland, liquidity or equity

amount should be left blank

NATIONAL PLAN

5.1 Nonpriority unsecured claims not separately classified.Allowed nonpriority unsecured claims that are not separately classified will be paid, pro rata. If more than one option is checked, the option providing the largest payment will be effective. Check all that apply. The sum of $____________. % of the total amount of these claims, an estimated

payment of $____________. The funds remaining after disbursements have been made

to all other creditors provided for in this plan.If the estate of the debtor(s) were liquidated under chapter 7, nonpriority unsecured claims would be paid approximately $______.Regardless of the options checked above, payments on allowed nonpriority unsecured claims will be made in at least this amount.

NATIONAL PLAN INSTRUCTIONSPART 5: TREATMENT ON

NONPRIORITY UNSECURED CLAIMS

5.2 MAINTENANCE OF PAYMENTS AND CURE OF ANY DEFAULT ON NONPRIORITY UNSECURED CLAIMS

Nonpriority and nondischargeable(examples are student loans and restitution)

Unsecured claim and last payment due after final plan payment

Trustee may object if prejudicial to other creditors

5.3 OTHER SEPARATELY CLASSIFIED NONPRIORITY CLAIMS

Unsecured codebtor claims that are to be paid by codebtor outside plan (example cosign on car note but not on title)

If have secured debt that codebtor is paying it goes in Part 8 (debtor on title)

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5.2 Maintenance of payments and cure of any default on nonpriority unsecured claims.Name of Creditor Current Installment Amount of Estimated total

payment arrearage payments byto be paid trustee

Disbursed by: TrusteeDebtor(s)

5.3 Other separately classified nonpriority unsecured claims.Name of Creditor Basis for separate Amount to be Interest Estimated total

classification and paid on the rate amount of treatment claim payments

NATIONAL PLAN INSTRUCTIONSPART 6: EXECUTORY CONTRACTS AND

UNEXPIRED LEASES

6.1 EXECUTORY CONTRACTS AND UNEXPIRED LEASES LISTED IN THIS SECTION ASSUMED. ALL OTHER EXECUTORY CONTRACTS AND UNEXPIRED LEASES REJECTED

All arrearages paid through plan pro rata unless monthly payment specified

All current monthly installments paid by debtor directly

NATIONAL PLAN6.1 The executory contracts and unexpired leases listed below are assumed and will be treated as specified. All other executory contractsand unexpired leases are rejected.

Name of Creditor Description of Current Amount of Treatment of Estimated

leased installment arrearage arrearage totalproperty or payment to be (Refer to payments byexecutory paid other plan trusteecontract section if

applicable

NATIONAL PLAN INSTRUCTIONSPART 7: VESTING OF PROPERTY OF

THE ESTATE

7.1 PROPERTY OF THE ESTATE WILL VEST IN THE DEBTOR(S) UPON

Plan confirmation Entry of discharge If no boxes are checked will

automatically mean that the estate will vest in the debtor(s) upon confirmation

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7.1 Property of the estate will vest in the debtor(s) uponCheck the applicable box:

plan confirmation. entry of discharge. other: ______________________

.

NATIONAL PLAN INSTRUCTIONSPART 8: NONSTANDARD PLAN

PROVISIONS

8.1 LIST NON STANDARD PROVISIONS Provisions not otherwise included in

official form or deviating from it. Nonstandard provisions set out

elsewhere in plan ineffective NATIONAL PLAN

8.1 Check “None” or List Nonstandard Plan ProvisionsNone. If “None” is checked, the rest of Part 8 need not be completed or reproduced.

Under Bankruptcy Rule 3015(c), nonstandard provisions must be set forth below. A nonstandard provision is a provision not otherwise included in the Official Form or deviating from it. Nonstandard provisions set out elsewhere in this plan are ineffective.The following plan provisions will be effective only if there is a check in the box “Included” in § 1.3.


PART 9: SIGNATURES• ONLY DEBTORS NOT

REPRESENTED BY AN ATTORNEY MUST SIGN THE PLAN

• BY SIGNING AND FILING THE PLAN INDIVIDUALS CERTIFY PLAN IS IDENTICAL TO OFFICIAL FORM 113

NATIONAL PLAN INSTRUCTIONSEXHIBIT: TOTAL AMOUNT OF

ESTIMATED TRUSTEE PAYMENTS

IF ANY DIFFERENCE BETWEEN THE AMOUNTS IN EXHIBIT AND THE PLAN, THE PLAN CONTROLS

TOTAL OF LINES a THROUGH j SHOULD BE VERY CLOSE TO THE SAME AMOUNT LISTED IN PART 2.5 Verify calculations are correct Remember this is public record of

your calculations This is not Trustee’s figures for

feasibility

NATIONAL PLAN

Exhibit: Total Amount of Estimated Trustee PaymentsThe following are the estimated payments that the plan requires the trustee to disburse. If there is any difference between the amounts set out below and the actual plan terms, the plan terms control.Maintenance and cure payments on secured claims (Part 3, Section 3.1 total)

Modified secured claims (Part 3, Section 3.2 total)

Secured claims excluded from 11 U.S.C. § 506 (Part 3, Section 3.3 total)

Judicial liens or security interests partially avoided (Part 3, Section 3.4 total)

Fees and priority claims (Part 4 total)

Nonpriority unsecured claims (Part 5, Section 5.1, highest stated amount)

Maintenance and cure payments on unsecured claims (Part 5, Section 5.2 total)

Separately classified unsecured claims (Part 5, Section 5.3 total)

Trustee payments on executory contracts and unexpired leases (Part 6, Section 6.1 total)

Nonstandard payments (Part 8, total)

Total of lines a through j

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