Direct Mortgage Payments Are Not ‘Provided For’ in a Plan, Eleventh Circuit Holds
By implication, the Eleventh Circuit would allow a general chapter 13 discharge to a debtor who defaults on direct mortgage payments, an issue where lower courts are split.
Court:
Annual Case Law Update: Part I (2018 Hon. Steven W. Rhodes Consumer Bankruptcy Conference)
Equity Can’t Bar a Chapter 13 Discharge After the Debtor Makes All Plan Payments
The bankruptcy court is no longer a court of equity; here’s another example.
Court:
Judges Split on Denial of Chapter 13 Discharge for Missing Direct Mortgage Payments
Illinois judges disagree on whether direct payments to a mortgagee are “under the plan” and must be made in full to obtain a chapter 13 discharge.