Why So Much Interest in a Pension Payment that No Longer Exists?

[aquabluesrq]

Hi Everyone!

I'm a long time lurker who after sitting on the fence for much longer than I should took the plunge and filed Ch 7 a few months ago.

The end of this month will mark my 90 days, which should bring me a bit of happiness and relief, however, I have a trustee who is hellbent on dragging this out as long as possible, and an attorney who is rolling out the red carpet for him to do so.

I know bankruptcy is not supposed to be an enjoyable process. I went into this knowing things were going to be a bit complicated. (I own part of a house inherited from my grandparents.) I also just received the last pension payment I inherited from my father. (Didn't think this would be a big deal).

At my 341 meeting, the trustee was all about my ownership in the house. Not one mention about this now defunct monthly pension payment, which I claimed as income AND an exemption (the last two payments of less than $300 total).

However right before Christmas and a day before the time to object to exemptions was up (a 30 day extension was filed), all of a sudden there's interest in this pension/annuity that I no longer receive payments from.

I've jumped through every hoop the trustee has asked me to jump through and provided ALL the documents that I can get (according to the Benefit provider). But for some reason, this trustee will not let it go and continues to ask me to provide documents that DO NOT EXIST. I just don't get it!? I feel like the documents I've provided are not being read at all!

What interest could he likely have in this "asset" that no longer has value? This was not a lump sum I received either (that wasn't even an option in my case). I've been receiving monthly payouts of about $100/month for nearly 10 years. I'm not exactly sure what on earth the trustee is looking for or what they can gain from this, and unfortunately my attorney seems ridiculously clueless and unwilling to make any waves by asking.

I have nothing to hide. I've provided everything there is to know about this "asset." I just really want this to come to an end, and I'm just super frustrated that the trustee is dragging this out chasing unicorns.

Anyone have any ideas? I'm just baffled.

Thank You!

[despritfreya]

It is not your pension. You were named a beneficiary of someone else's pension. Since we do not know what state you are in or whether you used state or federal exemptions (or which specific exemption for that matter) there is no way to tell if you were entitled to even one dime of the income stream after you filed bk.

Regardless of the amount of $$ involved, the Trustee is doing his job. He may or may not be sure an exemption applies and he has obtained an extension of the deadline (to January 23rd or thereabouts) to complete his investigation. Nor does he know if there is anything out there he can grab relative to this asset. You tell him the payments are over but, how does he know that? There is nothing unusual about a Trustee investigating such matters and it does not sound like you need to panic. Let the process unfold. If he is asking for documents you do not have then you just tell him the truth. If such documents do not exist - oh well. If they do exist I am sure he can obtain them from the pension plan administrator.

Des.

[LadyInTheRed]

Don't worry so much about what the trustee is doing. You aren't hiding anything and all you or your attorney can do is provide the documents that you have and tell the trustee what documents you don't have. As Des says, the trustee is doing his job and must satisfy himself that there is no asset to collect. He has the right to request everything relevant that he thinks he needs. As long as nobody is objecting to your discharge or trying to get exempt assets that you do actually have, try to relax. You will get your discharge.

[aquabluesrq]

Thank you for reading my rant and for your input and moral support Des and LadyinRed.

I've just searched to no avail online trying to wrap my head around why the trustee would be interested in something I've proven through documentation no longer exists, and my attorney has offered NO input whatsoever. I just thought there was something I was missing.

I understand the trustee has a job to do, however, it's beyond frustrating when it appears that neither the trustee nor my attorney are actually reading the documentation I'm providing them.

You tell him the payments are over but, how does he know that?

The Trustee should know this because I've provided them with TWO documents from the Administrator stating when the payments began and the date they were to end. I actually provided one of these documents at my 341 meeting and the trustee gave it a quick once over and passed it back. This is actually one of the reasons I am now taken aback that all of a sudden this is a big deal to the trustee.

He may or may not be sure an exemption applies ...

The $300 in payments I received after filing, I exempted through a wild card exemption.


As you suggest, I guess I'll just have to TRY to relax (my anxiety is getting the better of me), and see how this all pans out.

Thanks again for your input!

[justbroke]

Just relax. The Trustee has found a loose thread and is going to tug on it until either the entire sweater falls apart or they get frustrated and decide to stop pulling. There is nothing you should worry about. Yes, it's frustrating to be asked these questions, but the Trustee has not asked for a Rule 2004 examination, so it's not as if they suspect wrongdoing.

Sometimes, Trustees come up with wild ideas on how to gt money for the Estate (and earn their commission). I only need to mention the so-called "carve-out" for underwater properties surrendered in Chapter 7's (in Florida). In that case, the Trustees were getting money from where there was, none. So, just let the Trustee do his/her thing. Hopefully, the Trustee wastes so much time and money tugging on that string, that they don't try this again in the future.