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[StartingOver08]

MrSmithster, the red portion is just my opinion! The article above it is from an attorney at www.************************

[MrSmithster]

Like other secured debt in a Chapter 7 bankruptcy, the debtor can choose to pay the debt (known as reaffirmation agreement) and keep the merchandise. In the alternative, the debtor can choose to surrender the merchandise and discharge the debt.

glad you added a follow up in red to the above statement, as the only choices you seemed offer were to pay or give it back. of course the 3rd option, make them take it and show proof and file with the court/tt as reqd.
sure they will come get it if you just say "ok, come get it". if they have to go thru legal means, show proof of docs, file with the court, wait for decision, etc..,they will probably reconsider options. then again, is your lawyer asking for more money to fight/delay this if needed? then it might be better to just give it up to save any additional lawyer fees.

[pookieny]

Ignore them! Don't call them back, don't set up an appointment, and don't let them into your house, they have no case.

[COgirl]

I think it's because the debt was secured by the tv. The attorney explained it to me like a car with a loan. If you don't pay the balance, or negotiate a settlement, they take it.
I guess we can go through the whole court order thing, but we're also moving out of state to get a fresh start. Why bother with this? Let 'em take it.

[ohio]

I am a bit confused as to why your attorney was trying to negotiate. Why not just tell them they are in violation and send them a letter? I certainly wouldn't be entertaining them about coming to get the tv. Tell them they have to file a motion with the courts to take it.

[StartingOver08]

Here is an article on PMSI:

In Part 1, I discussed perfected security interest, such as home mortgages and car titles. The next common type of secured debt is the purchase money security interest (also known as a “PMSI”). Like a perfected security interest, a PMSI is a voluntary lien placed on the debtor’s property as a result of the debtor’s written permission, but unlike a PMSI, the interest is automatically “perfected” without being recorded. In other words, the lien holder does not need to take any extra steps to ensure the loan is secured by certain property belonging to the debtor.

This type of security is created when a debtor buys personal property using money borrowed directly from the seller. The most common example is a store credit card, such as Rooms to Go or Sears. For example, if a computer is purchased from CompUSA using store credit, the debt is automatically secured by the computer. If the same computer is purchased using a credit card (e.g. Visa, MasterCard, American Express or Discover), the debt is totally unsecured.

Like other secured debt in a Chapter 7 bankruptcy, the debtor can choose to pay the debt (known as reaffirmation agreement) and keep the merchandise. In the alternative, the debtor can choose to surrender the merchandise and discharge the debt.

In a Chapter 13 bankruptcy, the debtor can “value” the merchandise, and pay the creditor only an amount equal to the fair market value. Any remaining amount owed would be treated as an unsecured claim.

http://www.************************/...rity-interest/

IF the creditor is allowed to collect the TV during your BK because of the PMSI, I would give it back to them. Yes you spent $1000 on a TV you no longer will have, but then again you are also discharging XX amount of debt. It is a small price to pay to get rid of big debt. I agree with the consensus here - ignore the request until they have something from the court authorizing pickup. But in the end, look at the big picture - I would trade $1000 anyday to get rid of mega debt. This is your chance to start over without bringing thru all the old debt. Take it.

[shabam]

They're violating the bk code by collecting.

Maybe you should let them come take it but document and record them doing so, with signatures during collection, and then use it to pursue them in bk court for the violation. Even the trustee could sue them for violating stay and retrieving assets.

[destitute]

Don't agree to schedule a pickup time. Inform them they are violating the stay and if the want the tv you expect them to file for relief through the courts. Also, inform them that if they try this you will ask the court to make them prove that the tv is secured by producing the credit agreement with your signature. In my case when asked to provide this information they could not.

Don't make it easy for them. Make them work for it and spend money to get the tv. My guess is they will go away and leave you alone.

[MrSmithster]

dont let them take it! stop talking to them. i was under the impression they cant take anything till they file with the court/tt. in fact i thought they had to wait till discharge to actually take secured items not surrendered but listed, maybe im wrong...

[JoeBankrupt33]

I once got a letter from Bass and Associates. My lawyer told me to ignore them. I think this was also for Best Buy (it was in 01, so I don't remember exactly - it was either Best Buy or a furniture store). Anyhow, they sent one more letter, then disappeared. No company wants your TV, since it will cost them more to recover it than they could sell it for.

[mama2three]

They actually called today to schedule the pick up of the tv. It is Bass and Associates. My husband will call them tomorrow. How absurd that they won't accept anything less than full payment - and more than the tv cost. So, the $1000 we already paid, we lose.

My attorney tried to negotiate with them. Maybe that was a mistake?

I'll just be glad when all of this is over. I think our objection date is 11/02/09. That will be my independence day.

If they pick it up without moving for relief from the automatic stay, they will be in violation.

[mgmadara]

I doubt they will actually pick up your tv. Bass and Associates tried to get money out of us for stuff we bought at Best Buy. We ignored their calls and letters and they went away.

[COgirl]

They actually called today to schedule the pick up of the tv. It is Bass and Associates. My husband will call them tomorrow. How absurd that they won't accept anything less than full payment - and more than the tv cost. So, the $1000 we already paid, we lose.

My attorney tried to negotiate with them. Maybe that was a mistake?

I'll just be glad when all of this is over. I think our objection date is 11/02/09. That will be my independence day.

[destitute]

Since it was best buy just ignore them. They will go away. I'm assuming you listed them as an unsecured creditor. In that case, in order for them to get the TV they need to file with the court to prove their status as a secured creditor. Unless they do that your discharge will take care of them and I really don't see them doing that for a tv.

If your letter was from Bass and Ass. then that's the same one everyone else is getting. They are full of it. Ignore them and they will go away. I had the same issue and my attorney's office told them they were instructed by me to ignore them. Never heard another word.

[anime-chicka]

It was Best Buy. We are not discharged yet. They wanted the entire outstanding balance - they did not come off the amount at all (including warranty, late fees, etc.).

They can have the stupid thing as far as I'm concerned. Just another reminder of dumb mistakes we've made and won't make again. We'll save up and pay cash for a new tv when the time comes.

Lesson learned.

Or buy one at Goodwill or another secondhand store. I saw quite a few nice tvs at decent prices at Goodwill last weekend when I was footstool/ottoman shopping and clothes shopping for my hubby.