Is the Stay "lifted" after discharge even if...

[cowgirlup289]

...the case is still "awaiting close?"
This applies to Secured creditors...??
Curious. My boyfriend's lawyer says yes, but we sadly always seek a 2nd opinion as I feel like I've received more information here, thanks to everyone. ;-)

[AngelinaCatHub]

I believe your stay terminates upon discharge or dismissal. Discharge you are done. The close is a clerical mop up. Usually in a no asset it is the time clerks file paperwork and the Judge stamps his signature. In an asset case it is when the assets and expenses have been paid out in proportion. No one else at that point can say "hey, I wasn't included, where's my cut?" It's too late then.

What is your worry about the lift of stay? No one in your discharge can come after you. Only if you have run up something after your filing date are you responsible for the debt. 'Hub

[AngelinaCatHub]

# When a debtor files bankruptcy, the bankruptcy court imposes an automatic stay that prevents most creditors from taking collection action against the debtor. But an automatic stay will be lifted when: The bankruptcy case is closed. If a bankruptcy case is closed by the debtor or the court, creditors can resume collection activity against the debtor.
# The bankruptcy case is dismissed. If the court dismisses the debtor’s bankruptcy case for any reason, creditors will no longer be restricted by the automatic stay and will be allowed to resume collection activities.
# The debtor is either granted or denied a bankruptcy discharge. If the debtor is granted a discharge, creditors who are exempt from discharge will most likely pursue the debtor for repayment (i.e. child support, student loans, alimony). And if the discharge is denied, all creditors can resume collection activities against the debtor.

http://www.allmandandlee.com/bankruptcy_blog/bankruptcy/lifting-an-automatic-stay/

[tcreegan]

Hi cowgirlup,

The automatic stay gets replaced by the discharge injunction. All creditors are prevented from attempting to collect pre-petition debt, essentially forever. Secured creditors cannot attempt to collect from the debtor but they can proceed to recover their collateral/security interest.

Glad things are progressing for your BF,

Tom in Colo

[wnguyen]

ACH

How long does it take for a no asset case to close? Will the car lender take my car right away if it's not paid after discharge but the case is still awaiting closing?

[wnguyen]

Hi Tom

I notice you're also waiting for closing Does that mean we're done here or still have to wait until the case is closed?

[tcreegan]

....except non-dischargeable debt, they start collecting again after discharge.

[tobee43]

Hi cowgirlup,

The automatic stay gets replaced by the discharge injunction. All creditors are prevented from attempting to collect pre-petition debt, essentially forever. Secured creditors cannot attempt to collect from the debtor but they can proceed to recover their collateral/security interest.

Glad things are progressing for your BF,

Tom in Colo

tom...i would LOVE to plaster this post all over this forum!! thanks as usual for your great insight and info!...i for one if you don't mind will be quoting you in the future..NOT plagiarizing...LOL!!! quoting ...k...

[cowgirlup289]

# When a debtor files bankruptcy, the bankruptcy court imposes an automatic stay that prevents most creditors from taking collection action against the debtor. But an automatic stay will be lifted when: The bankruptcy case is closed. If a bankruptcy case is closed by the debtor or the court, creditors can resume collection activity against the debtor.
# The bankruptcy case is dismissed. If the court dismisses the debtor’s bankruptcy case for any reason, creditors will no longer be restricted by the automatic stay and will be allowed to resume collection activities.
# The debtor is either granted or denied a bankruptcy discharge. If the debtor is granted a discharge, creditors who are exempt from discharge will most likely pursue the debtor for repayment (i.e. child support, student loans, alimony). And if the discharge is denied, all creditors can resume collection activities against the debtor.


http://www.allmandandlee.com/bankrup...utomatic-stay/

Thanks guys, very much - I'm finding the same information, give or take, it's very vague as it applies to the "secured" aspect. IRS is one thing, he owes back taxes from what became "income" of the business when finishing his house (another story),the “secured” creditor that is my worry (I’m in control of the books now, so there is no ‘new’ debt – hee hee), is the ex-wife’s property settlement (thanks to 2005 change in laws) after he “bought her out of a house” she wanted nothing to do with, just wanted money from it, she’s contacting him directly. We are in the house, paying the mortgage, she’s still on the “loan” which I will hopefully buy in 2012, but I’m wondering if the stay is still in place with regard to exempt property that is property of the estate (Texas), even though she has a lien (IRS has 1st lien – FUN), and would be taking a HUGE risk if she tried to seize since he didn’t reaffirm the mortgage…

It’s a little sticky – and thanks Tom, it’s still in ‘pending’, but I like the reprieve except for the “ex” trying to contact him…no bueno.

[researchnerd]

ACH

How long does it take for a no asset case to close? Will the car lender take my car right away if it's not paid after discharge but the case is still awaiting closing?

As I understand it, if you've missed payments and do not reaffirm, the car lender is allowed to come get their secured property immediately upon discharge or relief from stay. How long it actually takes depends on how backlogged they are and when they can schedule the recovery agent. I don't think they have to wait for the case to close.

[drowning123]

A couple of weeks after discharge, the repo man will come a knockin'.

[cowgirlup289]

ACH

How long does it take for a no asset case to close? Will the car lender take my car right away if it's not paid after discharge but the case is still awaiting closing?

ACH is correct, but they "should" contact you, or your attorney, to let you know when they are coming to pick up the vehicle. My BF didn't reaffirm his truck because they tried to tie it into a business LOC he wasn't able to pay and couldn't consciously reaffirm "all" of it even though he wanted/needed his truck for work. It took about a month, but every situation varies. Believe it or not, we were ready for them to get it that we called 'them' to let them know it was "ready" to be picked up, keys inside. Then again, we live in the country with an electric gate and, a no trespassing sign. ;-)

[AngelinaCatHub]

If you wish to keep the car, catch up rapidly on the payments and "pay through". They don't want your car they want the money. If you are letting it go, then do nothing. It will leave. More than likely they will notify you. They don't have to do that though. It is better to call them and ask them to come and you will have it "cleaned up and with keys" so as that courtesy will be marked as a volunteered repo. Helps a little bit on your credit. 'Hub

[researchnerd]

It is better to call them and ask them to come and you will have it "cleaned up and with keys" so as that courtesy will be marked as a volunteered repo. Helps a little bit on your credit. 'Hub

Having done a voluntary repo in the distant past, I can say that this is not necessarily the case. It appeared no differently on my credit report than any other repo. But it can't hurt, and may make it less stressful for you if you know when they are coming.

[tobee43]

Having done a voluntary repo in the distant past, I can say that this is not necessarily the case. It appeared no differently on my credit report than any other repo. But it can't hurt, and may make it less stressful for you if you know when they are coming.

actually we had to go 4 hours out of way and rent a car to voluntary surrender our car...as the credit union was not a car dealership and had no place for us to put it...they also, had to contact their atty as they said at that point they had NEVER had anyone voluntarily surrendered their vehicle ...wow...

i told them they had been good to us for 30 plus years and i would not want them have to come 1700 miles out of their way to come retrieve the car...so we did it that way.

a rose by another other name is still a rose...