Creditor Question?

[drummer1]

I read in post below where chase wants there TV Back and certain other credit card companys wanting back stuff you baught....Arent these visa cards unsecured? I thought they cannot get back things you baught? I mean can they ask for shoes back if you used your credit card to buy them in a store? Just wondering what the policy is on this and if unsecured means they are really "unsecured" Also, isnt stuff like TVs etc..worthless after a few months? Thanks

[BassBoy]

Usually, the store type CC's (i.e., Best Buy, Circuit City, Sears and ect) are the ones that may want something back because the item(s) you bought with a store CC is secured. I believe if you pulled out your bank VISA, and because the CC is an unsecured CC, the creditor shouldn't be able to recover the item(s) purchased. On the other hand, I wouldn't put it pass them for trying if you recently bought a high priced item.

Yes, you are correct that the value of item(s) like electronics do not have much value, but again, if you purchased recently, it's possible it could be siezed and sold.

In my opinion, and based on what I've read within the forum, a creditor actually getting the item(s) back is rare because the costs to recover such items is not of any benefit to the creditor.

[Cassiopeia]

When I told the collection agency who had my Dell acct that I was filing, they still insisted that I return the computer. I gave them my atty's name and phone number. They called my atty. and told him that it was a secured loan. So, we listed it on my paperwork as a secured loan, and notated the fact that I would be "willing" to return the computer. (Of course knowing they would never really pursue this.) I filed in June and to this day have never heard another word from them about the computer.

(I forget the name of the collection agency Dell used in my case, but it was one of the WORST I have dealt with.....extremely and viciously harrassing!! )

[drummer1]

When I told the collection agency who had my Dell acct that I was filing, they still insisted that I return the computer. I gave them my atty's name and phone number. They called my atty. and told him that it was a secured loan. So, we listed it on my paperwork as a secured loan, and notated the fact that I would be "willing" to return the computer. (Of course knowing they would never really pursue this.) I filed in June and to this day have never heard another word from them about the computer.

(I forget the name of the collection agency Dell used in my case, but it was one of the WORST I have dealt with.....extremely and viciously harrassing!! )

My wife and I also dealt with some unreal collection agencys, calling 5 and 6 times in a row! At times My wife would acually cry, it was terrible...One of them acually told us that we should sell our house and live in the street in order to pay our bill...I could not beleve this, so I stayed on the phone with them (Like an idiot) Trying to argue my point and telling them how crazy it was that they would suggest that over a $1500 credit card!! I told them I had a child and the guy said who cares, sell the house and pay us!! it was an intense screaming match...at that point I knew it was time to get a laywer..I never want to deal with that again...just horrible..They are relentless and I must admit they "broke me down" a few times I thought I was strong but the phone constantly ringing did take its toll...relentless, it was certainly equivelent to physcological warfare and they won at times, I would pay them right over the phone just to make it stop, they called weekends, nights, early morning...Just incredible...In our case the worst one was "Household Financial" HFC....THEY WERE AWEFULL...I hope and pray we are done with them, They acually pushed us to Bankrupcty, would not work with us, wouldent exept less etc....Now they get nothing! Anyone ever deal with them?

It really ruined our life, And it always came when we were "happy" it could be a moment with my daughter on a Sunday, playing, then the phone would ring and my wife and I looked at each other...the weekend was ruined, last holiday season they called on xmas eve! Can you imagine??..I could go on and on, I pray to god its over now and we can start fresh!

One more question, if they are going to ask for "stuff" back is it usually before the 341 or after? Anyone deal with Home Depot? we did buy a couple of apliances in the early spring....Thanks

[BassBoy]

If I recall correctly, if the creditor had not contacted you within a few weeks to a month after your DISCHARGE, then it's most likely that you'll never hear from them at all.

As for Home Depot, appliances are big ticket items and you may hear from them, but as I said earlier, it's very rare that the creditor ever goes through the trouble of collecting the item(s).

I have to laugh about the creditor telling you sell your house because I had a similar phone call before we filed and I fired back at the guy with, "Are you willing to buy the house from me?" LOL! He thought I was kidding but I told him I was dead serious. He shut up after that.

[drummer1]

If I recall correctly, if the creditor had not contacted you within a few weeks to a month after your DISCHARGE, then it's most likely that you'll never hear from them at all.

As for Home Depot, appliances are big ticket items and you may hear from them, but as I said earlier, it's very rare that the creditor ever goes through the trouble of collecting the item(s).

I have to laugh about the creditor telling you sell your house because I had a similar phone call before we filed and I fired back at the guy with, "Are you willing to buy the house from me?" LOL! He thought I was kidding but I told him I was dead serious. He shut up after that.

after discharge? isnt it to late then? I mean once your discharged, its ballgame over? right?

Listen, dont these companys just write this stuff off as a loss on there tax returns? they never really lose

[BassBoy]

Ballgame over after discharge would mean that the creditor can not collect the debt or unpaid balance of a debt. I do believe that they have rights to the property/items. Remember that secured debts are handled differently than unsecured debts.

[drummer1]

Ballgame over after discharge would mean that the creditor can not collect the debt or unpaid balance of a debt. I do believe that they have rights to the property/items. Remember that secured debts are handled differently than unsecured debts.

Right but these credit cards are unsecured exept maybe as you say , store cards...but still several months after a purchase the stuff is used and abused I doubt its worth much of anything..

[BassBoy]

I remember, the card(s) is an unsecured CC you used. I was referring to the Home Depot CC. That may be considered a secured CC because you bought an appliance(s) with it.

From Moran Law:
Purchase money security interests

These security interest are lien rights that the seller retains in the goods purchased when the seller finances the purchase. The lien can be created by a specific written agreement or may arise when the item is financed on the seller's revolving credit plan or store credit card. This kind of lien does not have to be perfected by the usual filing of a UCC financing statement.

In theory, if the buyer discharges his personal liability on the debt through bankruptcy, the seller retains the right to reclaim the goods. The usual Sears, Good Guys, Circuit City and Zales credit plans give the seller a security interest in the goods purchased.

Contrast: if you buy the same goods using a Visa or MasterCard (credit provided by a lender other than the seller), you get clear title to the goods. Even if you discharge your liability on the credit card, the goods charged to the card are yours, free and clear of any security interest in favor of the seller or the credit card issuer.

Purchase money security interests can be avoided or stripped down to the present value of the collateral only in Chapter 11 and 13.

It is the experience that creditors with purchase money security interests in consumer goods almost never file a law suit to enforce their interest in the goods. They are not really interested in the goods. They rely on the debtor's fear of repossession to "encourage" debtors to pay for things with little present market value.

I hope this better describes what I was talking about

[jennordhavn]

I have to laugh about the creditor telling you sell your house because I had a similar phone call before we filed and I fired back at the guy with, "Are you willing to buy the house from me?" LOL! He thought I was kidding but I told him I was dead serious. He shut up after that.

I had a collector tell me that my daughter shouldn't be going to private school if I owed them money (it was American General Finance). I'm in CA and I work for lawyers so when they got a judgment and garnished my wages, I did a "claim of exemption" and got my payments reduced from 25% of my net pay (appx. $375/pay period) to $75 pay period by showing my income and expenses. I asked my boss whether the judge would say anything about the private school tuition and he said he didn't know a judge who would tell you to take your kid out of private school to pay a debt! Some of these people are unbelievable.

[BassBoy]

OMG! I can't believe some of the lines we get from some creditors. Do they think we're just going to roll over?

[Cassiopeia]

It really ruined our life, And it always came when we were "happy" it could be a moment with my daughter on a Sunday, playing, then the phone would ring and my wife and I looked at each other...the weekend was ruined, last holiday season they called on xmas eve! Can you imagine??..I could go on and on, I pray to god its over now and we can start fresh!

Oh boy, drummer, your whole story is SO sad. I really believe those collectors are evil personified. I can't imagine working in a job like that. They DO break people down. I was a nervous wreck. They called my work continually, despite me telling them I couldn't get calls at work.

I think it all goes right back to what I've said on here so many times before: If I had it to do over, I would have filed BK much sooner and saved myself the heartache, health problems and aggravation of dealing with collections agencies. If I only knew then what I know now! But back in those days I bought into all the BK myths and really believed it was the end of the world if you filed BK. HA! To the contrary, it's the best thing I EVER did for myself!

[sol1899]

Looking back, selling would have been great advise for me, but I was too attached. I should have sold, paid everyone, rented, and sat on the proceeds from the sale till now where would have been able to buy back that same house owe less on it and have a low rate. "shoulda, woulda, coulda" "hindsight is 20/20"