The opinion of the court was delivered by: Rufe, J.
MEMORANDUM OPINION AND ORDER
This case comes before the Court on Appellant Theresa L. Caldwell's appeal of a March 2, 2004 Order of the United States Bankruptcy Court for the Eastern District of Pennsylvania (the "March Order") granting creditor Wilshire Credit Corporation's ("Wilshire") Motion for Reconsideration. The March Order reversed the Bankruptcy Court's November 25, 2003 Order reducing the amount of Wilshire's proof of claim, and it allowed the proof of claim to stand as filed despite the fact that the amount of the proof of claim is more than the amount accounted for in the Chapter 13 Plan the Bankruptcy Court confirmed on January 6, 2004. For the following reasons, the March Order is affirmed and the appeal is denied.
I. FACTUAL BACKGROUND AND PROCEDURAL HISTORY
Appellant is the owner of residential real estate located in Collingdale, Pennsylvania (the "Property"). On May 17, 1999, Appellant executed a mortgage on the Property for $80,000 (the "Mortgage"). Pursuant to the Mortgage, which is now held by Wilshire, Appellant must pay her own property taxes and insurance, and she must reimburse the lender if the lender has to advance Appellant funds for such taxes or insurance.
In early 2001, Appellant defaulted on her monthly payments under the Mortgage and applied to the Pennsylvania Housing Finance Agency ("PHFA") for assistance. As part of the approval process, PHFA sent a "Reinstatement Agreement" to Wilshire's predecessor, Household Finance Company ("Household"). On March 26, 2001, Household completed the Reinstatement Agreement, listing $3,335.32 as the amount Appellant owed through the end of March 2001 to bring the Mortgage current and out of default. This amount included delinquent payments and a property inspection fee but did not include any advances for property taxes or insurance. On April 12, 2001, PHFA entered into a loan agreement with Appellant and paid to Household the $3,335.32 Appellant owed on the Mortgage.
Two weeks later, on April 26, 2001, Household paid $3,770.95 in property taxes that had not been paid by Appellant. On May 11, 2001, Household made an additional $670.55 tax payment to satisfy delinquent taxes on the Property (together with the April 26, 2001 payment, the "Tax Advances"). Pursuant to its rights under the Mortgage, Household then imposed an escrow requirement on Appellant to recover the Tax Advances.
On April 25, 2003, Appellant commenced the instant Chapter 13 bankruptcy proceedings in the United States Bankruptcy Court for the Eastern District of Pennsylvania. Shortly thereafter, Appellant submitted a Chapter 13 Plan calling for her to make sixty monthly payments of $100.00 to the Trustee. On May 28, 2003, Wilshire filed a proof of claim for a total indebtedness of $86,192.05 with arrears of $7,305.61, the latter amount including the $1,893.10 Appellant still owed on the Tax Advances.*fn1 On September 2, 2003, Appellant filed an objection to Wilshire's proof of claim, arguing that she was not responsible for the Tax Advances and claiming that the correct amount for the proof of claim was approximately $2,500.00.*fn2
The Bankruptcy Court initially scheduled a hearing on Appellant's objection to Wilshire's proof of claim for October 7, 2003, but the hearing was continued by agreement of counsel to November 4, 2003. When counsel for Wilshire failed to appear on November 4, 2003, another hearing date was set for November 25, 2003.*fn3 Prior to the November 25, 2003 hearing, the parties settled most of the arrears but could not agree on the $1,893.10 Wilshire claims it is still owed from the Tax Advances.
On November 25, 2003, when counsel for Wilshire once again failed to appear at the hearing on Appellant's objection, the Bankruptcy Court entered an Order granting Appellant's objection to Wilshire's claim and allowing Wilshire's claim for arrears in the amount of $2,500. On December 11, 2003, Wilshire filed a Motion for Reconsideration of the November 25, 2003 Order, and the Bankruptcy Court scheduled a hearing for January 13, 2004.
Wilshire never objected to Appellant's Chapter 13 Plan, and the Bankruptcy Court held a hearing and confirmed the Plan on January 6, 2004.*fn4 Almost two months later and after three continuances, on March 2, 2004, the Bankruptcy Court conducted a hearing and granted Wilshire's Motion for Reconsideration, thereby allowing Wilshire's proof of claim to stand as filed with arrears of $7,305.61. On March 12, 2004, Appellant timely filed the instant appeal.
Appellant makes two arguments in support of her claim that this Court should reverse the March Order. First, Appellant argues that she is not liable for the Tax Advances because Household failed to include them in the Reinstatement Agreement. Second, she contends that Wilshire is bound by the confirmed Chapter 13 Plan (the "Plan") and was not entitled to have its proof of claim stand as filed when doing so would create an inconsistency with the Plan. As explained below, neither argument has merit.
A. Appellant's Liability for Wilshire's Tax Advances
Appellant argues that she is not liable for the Tax Advances because Household did not include the advances in the Reinstatement Agreement. She contends that the following language from the Reinstatement Agreement absolves her from liability for any debts to Household that existed at ...