Issue link: https://mbozikis.ufcontent.com/i/1422521
217 3. Objections to Confirmation If the trustee or a holder of an unsecured claim objects to plan confirmation, then the court may not confirm the plan unless, as of the effective date, (i) the value of the property to be distributed under the plan on account of such claim is not less than the amount of such claim or (ii) the plan provides that all of the debtor's projected disposable income to be received during the length of the plan period will be applied to make payments to unsecured creditors under the plan. 11 U.S.C. § 1325(b)(1). 120 4. Plan Payments Unless the court orders otherwise, the debtor must begin making payments under the plan not later than thirty days after the date of the filing of the plan or the order for relief, whichever is earlier. 11 U.S.C. § 1326(a)(1). Plan payments must be in the amount (i) proposed by the plan to the trustee, (ii) scheduled in a lease of personal property directly to the lessor for that portion of the obligation that becomes due postpetition, or (iii) that provides adequate protection directly to a creditor holding a claim secured by personal property to the extent the claim is attributable to the purchase of such property. Payments made to the trustee shall be retained by the trustee pending confirmation or denial of confirmation. 11 U.S.C. § 1326(a)(2). If the plan is confirmed, the trustee shall distribute such payments in accordance with the plan as soon as practicable. If the plan is not confirmed, the trustee generally must return to the debtor payments that are not yet due and owing to creditors of the debtor. Before any payments are made to creditors in a Chapter 13 case, any unpaid administrative expense claims and certain fees relating to trustees 121 must be paid. 11 U.S.C. § 1326(b). Although the general rule is that, unless otherwise provided in the plan or the confirmation order, the 120 The definition of "disposable income" is discussed in greater detail in Chapter IV.A.2.B. above. 121 If a standing Chapter 13 trustee is serving in the case, his fee must be paid. Additionally, limited payments to a Chapter 7 trustee may be due in certain circumstances if the debtor was previously a debtor in a Chapter 7 case that was dismissed or converted.