3 years after discharge...

[KrazyInMichigan]

Hi from Michigan! I'm going to try to make a long confusing story short and simple. My husband filed Chapter 7 in July 2004. His BK was discharged in January 2005. During the filing procedure he owned a parcel of vacant in FL. It was valued at $1,600 at time of filing and had been at that value for the last 20 years. In mid January he got an offer on the property for $24,000. He sold it in May 2005. We really had no idea the property was going to sky rocket like it did, or that we couldn't sell it. In October 2005 his Trustee told him pay or else he would dismiss the BK. We didn't have the money so the Trustee put a lien on our home until we could try to pay. That date has come and we still can't pay. The Trustee wants $2,600 a month plus interest until it's paid. Any advice?

[AngelinaCatHub]

When was your bk closed? This is new to me as when the hell do you get out of the yoke of Government? Was your case closed? If it was, I would not pay and I would address the Court. That kind of money could be appropriate to get a lawyer. Not good news for any of us. Are we forever chattle of the Government? What the hell is our 'new start' about then? 'Hub

[KrazyInMichigan]

Good questions. We don't know when it was "closed" if ever. It was discharged in January 2005. It seems as if this is going to be with us forever...btw we're still trying to find that "new start".

[TEW]

give the trustee the money

[KrazyInMichigan]

TEW, first off we don't have the money. Second why is it that you say that point blank? We were not trying to hide anything, isn't there any room for making a mistake or negotiating? Shouldn't his attorney have to help him and follow this through? Thanks

[MNBK7guy]

In my 341 hearing the trustee told me if I inheiret any money or make money from the sale of any property over XXX amount within a certain time frame after closing, you must report that to the trustee, im pretty sure he said 6 months. The sale of your property was 5 months after, therefore the trustee would be looking for this money.

[KrazyInMichigan]

Thanks for that information. That helps us understand a bit better. I wish his attorney would have mentioned that!!

[MNBK7guy]

heres a good post to read with some info you may glean from it.

http://www.bkforum.com/showthread.php?t=22259

[banca rotta]

Hi from Michigan! I'm going to try to make a long confusing story short and simple. My husband filed Chapter 7 in July 2004. His BK was discharged in January 2005. During the filing procedure he owned a parcel of vacant in FL. It was valued at $1,600 at time of filing and had been at that value for the last 20 years. In mid January he got an offer on the property for $24,000. He sold it in May 2005. We really had no idea the property was going to sky rocket like it did, or that we couldn't sell it. In October 2005 his Trustee told him pay or else he would dismiss the BK. We didn't have the money so the Trustee put a lien on our home until we could try to pay. That date has come and we still can't pay. The Trustee wants $2,600 a month plus interest until it's paid. Any advice?

Mmmmmmmm. How did the value of it jump so much from the date he filed in July 04 to May 05??? That's 15 times it's July 04 value. A lot has changed since May 05. Is it still worth that much today?


This is also 3.5 years ago. Has the trustee tried to collect on this in the last 3 plus years? Something just doesn't sound right here. I would think the trustee would have had the property appraised while your case was still open and do all this then and not today.

As much as I hate to say it you need to contact an attorney. This is very unusual. Sorry.

[banca rotta]

When was your bk closed? This is new to me as when the hell do you get out of the yoke of Government? Was your case closed? If it was, I would not pay and I would address the Court. That kind of money could be appropriate to get a lawyer. Not good news for any of us. Are we forever chattle of the Government? What the hell is our 'new start' about then? 'Hub

I wouldn't lose sleep over this Hub. It doesn't sound like an everyday case. The OP's property has taken a huge jump in value in such a short time and the trustee isn't going to let this one go.

[KrazyInMichigan]

MNBK..thanks that link was very informative.

[KrazyInMichigan]

Banca-You're right that jump in value was crazy. We were skeptical and stunned when we were contacted about someone wanting to buy it for that price. It seems there was a contractor, or several wanting to build on the land. We have checked since selling the land for $24K and it was sold twice since then (the last time we looked was Oct 05) and the selling price was $42K. Yet another reason to see that we had no idea any of this was going to happen because we could have waited 6 months and got almost double. The Trustee did contact us in Oct 05, did not have any money at the time. He put a lien on our house and said we need to start paying in Oct 08. We still don't have that kind of money. My husbands original attorney apparently wasn't on the ball so he is going to contact another for some advice.