Mortgage Company Charges after Discharge Ch 7

[mbschwegel]

We received a letter from Green Tree stating we owed them over $7K for home insurance and legal fees on the house surrendered in our bk. Do we have to pay this?

Brenda

The bk that never ends!

[LadyInTheRed]

I don't think so. Call your attorney.

[Pizza]

The letter sounds like a bunch of bull. If you surrendered the home and listed Green Tree as the creditor, you shouldn't owe Green Tree another dime. What are the legal fees for, and what period of time is the insurance covering? Did they get a judgment before filing? I would call your attorney pronto.

[AngelinaCat]

Green Tree used to be known as American General Finance. They are snakes in the grass.

[tobee43]

actually i would send them a C & D letter immediately, along with a copy of your discharge and close orders from the bk courts.

they are in violation of the bk codes and need to be properly notified.

we basically had the same thing happen to us, not by Green Tree, but by the lenders atty requesting full payment on our mortgage after being discharged in our bk.

remember that although you think as surrender as handing it back to them, i learned the legal definition is "to make available to the creditor". so the lenders are turning the corner saying fine you made it available but we don't want it so pay for it. they will try anything.

make certain you send the letter certified mail, with the cert number in the body of the letter. that really should stop them from continuing to try and collect from you. now, if after you receive the card back they have been notified and still continue to seek money, that's the time to get an atty and go after them for violations of the bk code.

good luck!