From the Archives - Escrow 101 and 102 • NACTT Academy

From the Archives – Escrow 101 and 102

In the fall of 2021, Michael McCormick provided subscribers with an EXCELLENT, expository, seven-part outline on mortgage escrow. This information is still relevant today.

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Michael J. McCormick, Esq.

Senior Partner at McCalla Raymer Leibert Pierce, LLC

Michael McCormick is a senior partner with the bankruptcy department at McCalla Raymer Leibert Pierce, LLC. Mr. McCormick has been with the firm since 2004 and currently assists in bankruptcy representation for dozens of mortgage lenders and servicers nationwide. He is a graduate of Wake Forest University School of Law and the University of Western Ontario. Michael is a frequent speaker and author on various topics related to bankruptcy, including the handling of escrow accounts during a bankruptcy proceeding, and the recent bankruptcy form changes. He is also a member of numerous local and national bankruptcy organizations.

Honoring Black History Month

The Academy

February 18, 2024

Judge Raymond Lohier (Second Circuit U.S. Court of Appeals) Shares His Immigration Story and the Diverse Perspective it Brings

Critical Case Comment – Pre-Confirmation Payments

Henry E. Hildebrand, III

June 26, 2022

Even though the Model Plan in the district provides that the applicable commitment period starts from confirmation, the debtor may not apply pre-confirmation payments toward payments made during the applicable commitment period but must apply those payments in addition to the applicable commitment period payments. (Applebaum) In re Batoha, 2022 WL 1310943 (Bankr. E.D. Mich. May 2, 2022) Case Summary...

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Critical Case Comment

July 7, 2019

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville) Where a confirmation order of a debtor’s Chapter 12 plan specifically provided for payments to a creditor and the Chapter 12 trustee had supported confirmation of the plan, the trustee would be precluded from seeking to disallow a late-filed claim. Following the plan, the...

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The Government Shutdown and Chapter 13 Plan Arrearages – What Do We Do Now?

January 21, 2019

By Jan M. Sensenich, Chapter 13 Standing Trustee for the District of Vermont As we reach the end of the first month of the partial government shutdown, with no end in sight, 800,000 federal workers have started missing their paychecks. As the shutdown continues, Chapter 13 trustees are weighing how best to address the inevitable question from federal government employee...

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Tenancy by the Entireties and the § 522(f) Calculation

James M. Davis

February 25, 2024

“Over the years courts have struggled to apply the lien-avoidance provisions under § 522(f) to jointly owned property. . . .Things get even more confusing when the debtor owns property as a tenancy by the entireties. That antiquated form of ownership has odd characteristics that do not fit well into the § 522(f) calculation.”

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What IS a Principal Residence?

June 30, 2019

By Phil Lamos, Chief Legal Counsel, Office of the Chapter 13 Trustee Lauren A. Helbling (Cleveland, OH) Section 1322(b)(2) of the Bankruptcy Code states that a Chapter 13 plan may not modify a claim that is “secured only by a security interest in real property that is the debtor’s principal residence.” But the inverse of this statute is true; if...

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Critical Case Comment – New Bankruptcy Term – “Sale Plan”

Henry E. Hildebrand, III

January 1, 2023

Confirmation of a “sale” plan (proposing the sale of the debtor’s principal residence) depends upon how quickly the sale will be consummated, milestones established, and consequences for failing to meet those deadlines; a plan that makes payments to the mortgage company under a “sale” plan may not modify the rights of the mortgagee but if care is taken to comply...

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Vesting of Property in the Debtor Cuts Off Creditor’s Rights, Ninth Circuit Says

January 26, 2020

By Cathy Moran, Esq. (Redwood City, CA) Clouds of uncertainty have hovered over Chapter 13 debtors who find that they need to sell appreciated property before the case is over. Does appreciation occurring after filing go to creditors on the theory that the appreciation is property of the estate? Or does the vesting of property at confirmation entitle the debtor...

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CFPB Releases Report on Debt Settlements and Credit Counseling

July 12, 2020

July 10, 2020, the CFPB released a report examining recent trends in debt settlement and credit counseling. Many Americans struggle with their debts, especially during times of crisis. Today’s report documents changes over time in how consumers have used these debt relief options for unsecured debt. Using the Bureau’s Consumer Credit Panel (CCP), a nationally representative sample of approximately five...

NCLC Seeks Signers Urging Foreclosure Pause When HAF Applied For

The Academy

January 16, 2022

NCLC seeking non-profit organizations to sign two letters (one to the CFPB and one to FHFA, FHA, VA, and USDA) urging the agencies to require servicers to pause foreclosure activity for at least 60 days after being notified that a borrower has applied for HAF assistance and meets conditional program eligibility. We ask organizations to sign both letters, and the...