Monthly Archives: October 2014

NOTICE REGARDING CHAPTER 13 COLLECTION OF PERCENTAGE FEE

Effective October 1, 2014, the method by which Chapter 13 Standing Trustees collect percentage fees will change. The U.S. Trustee Program has determined to change its position regarding the timing of the collection of the percentage fee. The current practice has been for the trustees to earn the percentage upon receipt of payment but collect it upon disbursement.

Effective October 1st, the fee will be collected from all funds on hand, and thereafter, on all payments received by the Standing Trustee under the plan at the time of receipt.

This change will require significant revisions to the case administration software and the procedures of the Standing Trustees. These changes should not have any negative impact on case administration or on the software utilized by the debtor bar.