341 Today and Creditor Showed Up!!

[kcfaninin]

We attended our 341 today and an attorney for one of our creditors showed up. This particular account was an "unsecured" personal loan with a balance of $900.

This creditor had a judgement against us to garnish our wages, but we filed prior to that happening. So, the attorney for this finance company showed up and asked us the following questions:

1. Why is there a significant difference in your income from the last 6 months to today? (I no longer work a part-time job)

2. How much income did that part-time job generate? ($1200/mo)

3. How many months left to pay on your leased vehicle? (3 months)

What was the purpose of him being there and asking us those questions?

[albacore44]

for a measly $900 ?? they must be desperate. what did the trustee say ??

[kcfaninin]

for a measly $900 ?? they must be desperate. what did the trustee say ??

After he was finished drilling us with questions, all the trustee said was "any further questions Mr. Shaw"? He said "No" and that was it.

We couldn't figure out why he was there, as we were a no asset case. Plus, what did our car have to do with anything??

[HHM]

When did you take out the loan?

Did you take it out in the last 6 months?

The creditor probably paid him a little money to go to the meeting.

[aces67]

I wouldn't be too worried about it since it was an unsecured loan.

When did you take it out?

[kcfaninin]

When did you take out the loan?

Did you take it out in the last 6 months?

The creditor probably paid him a little money to go to the meeting.

We took the loan out May 2007 and stopped paying on it October 2009. I understand the question about our income, but why would he question us about our car payment and when the lease was up?

[HakunaMatata]

Perhaps he thought the ended lease would provide you with additional funds?

[frogger]

All of your creditors have the "right" to show up. Most do not, but if they do, it's not a big deal. The trustee is going to do their job regardless of these creditors as long as you have been honest about your financial status and dealings.

[BKDefender]

kcfaninin
I think he was there to ask you questions that would hopefully get you to admit that what you put on your bankruptcy filing was inaccurate, either accidentally or intentionally.
Question #1 was clearly to make sure you weren't lying. Question #2 was the same. I don't get Question #3 though.

--William

[HHM]

I can only guess that he might make a convoluted argument that you filed BK on the eve of lease expiration to get out of overages; but I don't see any possible argument he could win on (unless this was your ONLY debt).

[kcfaninin]

I can only guess that he might make a convoluted argument that you filed BK on the eve of lease expiration to get out of overages; but I don't see any possible argument he could win on (unless this was your ONLY debt).

We reaffirmed on the lease because we need the vehicle, even though we are over on our mileage. We were advised to try and trade it prior to filing, but our credit is too bad.

We will turn it in after our discharge which will be around the same time the lease expires. We will hopefully get a new vehicle then.

This attorney knew we had many other debts as he had our schedules in front of him. I just can't stop thinking about what he was after by inquiring about the car!?!? If we were going to turn it in, we would still need a 2nd vehicle.

I did notice though, that the trustee wished everyone luck and told them they could expect their discharge in 60 days, everyone but us!! Is that a sign of something bad??