The debtor is allowed to modify the plan both before and after the confirmation order. Before confirmation, the debtor has the exclusive right to propose any modifications by filing an amended plan. No court permission or stipulation of the affected parties is necessary. Plan modifications before confirmation may be necessary to resolve objections to the plan, to reflect a change in the debtor’s financial circumstances, or to correct the amounts of the debts set forth in the proposed plan.
Post-confirmation modification is difference from the pre-confirmation modification. First of all, the plan modification may be required by the debtor, the trustee, or an unsecured creditor. Second, the post-confirmation modifications are possible only upon notice and hearing. Post-confirmation modifications may be warranted when there has been a change in the debtor’s financial situation to increase or reduce plan payments. The court may not allow the modification sought by the debtor if it is not for a good reason.
The modified plan must also comply with the legal requirements governing the plan, and the modification may not provide for payments for more than the maximum re-payment period. See Chapter 13 Plan Requirements