QUESTION

What will happen to my SSI back pay if I am on Chapter 13?

Asked on Sep 11th, 2013 on Bankruptcy - Washington
More details to this question:
I have been in Chapter 13 for 16 months and are current on my payments. I recently received a lump sum payment for my disability. Is this lump sum payment exempt or do I have to turn it over to the Chapter 13 trustee?
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8 ANSWERS

It is exempt if it is disability. You need to report the payment to the trustee.
Answered on Oct 31st, 2013 at 6:09 AM

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Richard hirsh
SSI disability payments are exempt from creditors. While I suspect your chapter 13 plan is funded by your monthly SSI payments, I would take the position that the back pay is exempt. Consult your chapter 13 attorney.
Answered on Sep 12th, 2013 at 10:11 AM

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Bankruptcy Attorney serving Las Vegas, NV at A Fresh Start
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All benefits funded through social security are protected from the bankruptcy court administration. Still, you are required to make full disclosure to the Court. I hope you disclosed this application on your petition.
Answered on Sep 11th, 2013 at 1:33 PM

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Deborah F. Bowinski
Your lawyer can answer this question for you. Only he or she knows how your plan was written and what it requires of you.
Answered on Sep 11th, 2013 at 1:04 PM

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Bankruptcy Attorney serving Las Vegas, NV
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It is exempt. you get to keep it.
Answered on Sep 11th, 2013 at 12:57 PM

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Report the asset to the trustee.
Answered on Sep 11th, 2013 at 12:55 PM

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Bankruptcy Law Attorney serving Livingston, NJ
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Should be exempt if you did your schedules correctly.
Answered on Sep 11th, 2013 at 12:53 PM

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Regulatory Attorney serving Spokane, WA
Generally speaking if you are current on your Chapter 13 plan an extra lump of income will have no effect.
Answered on Sep 11th, 2013 at 12:45 PM

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