Would you report this to the Trustee?

[oldbaddebts]

My ch7 was discharged and closed. The car was surrendered. They refused to let me take it somewhere, so they came and got it.

They sent me a letter stating the standard regulatory stuff that I have 10 days to send them $13k to keep it, that I see as they have to. My issue is with a paragraph saying in part:

"You will be required to pay (Finance Company) the difference if the vehicle sells, including expenses, for less than the amount you owe."

Anything think I am overreacting to it, or does it seem to be tripping over the line of trying to collect a debt?

[cj0203]

I'm pretty sure they cannot "require" you to pay anything if the car was included in the BK. It might just be a form letter. If they keep hounding you I would report it.

[keepmine]

I'd report it. They need to elimenate that last sentence.

[DivorceRuinedMe]

I'd report it. They need to elimenate that last sentence.

Me too - that's crossing the line.

[HHM]

The thing is, you would not report it to the trustee...the trustee could care less. About all you have is a violation of the automatic stay. But, you have not suffered any damages as a result of the violation, so the most you could do is get some sanctions against the lender and your attorney's fees paid (assuming the court would agree that there is a violation).

I imagine they sent you a "form" letter. If they actually start making attempts to collect the deficiency, then I would get the ball rolling, otherwise, this letter is no big deal.

[coma]

I got a letter like that when i surrendered my car during my BK, but it included a statement that it was for information purposes only, and was not an attempt to collect a debt.

[oldbaddebts]

HHM, I agree with your post, but you raise a point that I haven't seen mentioned. Just for educational purposes, but someone else might be able to use the info.

For a Pro Se filer, what is the process to go through when there is a violation of the stay? I know that I am legally protected, but how does one enforce that?

[HHM]

Basically, you file a complaint with the BK court, which starts an adversarial proceeding in that court. Then you go through the process of normal litigation, but because it is BK court, the process is somewhat streamlined.