Adversary Proceeding and Closing of Bk file

[gfoll414]

Does anyone know if i will receive a discharge if one of the creditors is disputing some charges prior to my bk filing? My bk is scheduled to discharge on April 3rd but a credit card company is taking me back to court to eliminate their loan from my discharge. Does my discharge still take place on April 3rd and this company is left out or do i have to wait until the adversary proceeding hearing takes place (june 10th) for my discharge or for the case to be closed? I filed Pro Se. Thanks.

[aa06a47]

You won't get a discharge until after the hearing and the court provides a ruling. As long as the cc company complied with the rules (which I assume they did since you got a notice of the adversary proceeding). I believe the creditors have 90 days from the time you file to object. I believe that is why many don't bother attending the 341 meeting, it is really not a forum for them to litigate there position.

[gfoll414]

Adversary Proceeding

I pulled the notice of adversary proceeding off Pacer. They have not notified me yet. I have not been served. The discharge occurs on April 3rd. Does this mean if they don't serve me, the adversary proceeding will not move forward?

[gfoll414]

Adversary Proceeding

The new law states a creditor has 60 days from the 341 Hearing to dispute any charges. That period ends April 3rd. If one of the companies is disputing the charges i made prior to the bankruptcy, do all of the other accounts listed in the bk discharge on April 3rd and only the one in dispute doesn't get discharged until after the hearing for that particular account?

[SinkingFast]

That sounds right, Gfoll. Only debts being actively disputed wouldn't be discharged on April 3. Maybe others will jump in and comment if I'm wrong.

Just curious, but you haven't been contacted at all about this Adversarial Dispute?? Usually a CC company's attny would contact your attny looking for some sort of settle amount for you to pay. Did you or your attny, I should say, get any sort of contact like that?? Do you know which CC and how much they're going after??

[edwards2]

sinkingfast...he filed pro se...am still surprised no contact has been made by the cc company...

[gfoll414]

SinkingFast, the cc company did send me a letter requesting me to settle with them and i did not respond. I thought they might go away and forget about everything but when i looked on Pacer two days ago, i found out that they filed for an adversary proceeding. The hearing takes place on June 7. Meanwhile, my discharge is supposed to occur April 3rd. i have not been served yet though. Will i get a discharge letter on April 3 and it won't include chase bank, the company that filed the adversary proceeding?

[gfoll414]

Pro se filed, Foreclosure, Reafirmation

Sinking Fast, i filed pro se. Did not have the money for a lawyer. I started a business and lost alot of money doing it and that is why i filed chapter 7. i've never been behind on my bills before. always had perfect credit. it was a gamble and i lost. I did not have the money to pay for an attorney. Now im behind on my house payment (2 payments). Do you think they are going to try to foreclose on me right away or will they negotiate with me to put the delinquent payments back into the loan? My first is with Countrywide, and my second is with Etrade CLC. A lawyer for Etrade has been trying to contact me. I'm assuming it is to sign a reafirmation agreement. There is no equity in the house, so i do not want to sign the agreement. I am willing to continue making payments though if something can be worked out? Do you or anybody else know what i can do?

[gfoll414]

Amount of recovery for credit card company

Sinking Fast, they are going after 6200 dollars plus attorney fees.

[aa06a47]

Well, looks like you'll be fighting it out in court, bummer, I feel like I will be doing the same. Did they give a reason why they are going after these funds. You may think about saving enough up to have a lawyer with you during this process. I am not sure how much one would charge you, but if it is 500 bucks, it might save 6000.

[edwards2]

Just curious...you included this cc company in your discharge and they tried to settle with you? Why? After our creditors were notified we did not have a single one dispute our BK. I know it is expensive to hire an attorney but the peace of mind ours gave us was worth it. As for foreclosure...depends on the mortgage company. We had Countrywide a long time ago I really liked them. Also, they are BK-friendly but that is more about post-BK. The company servicing your second mortgage is probably in panic mode because the first mortage holder gets paid first. That explains why the interest rate on second mortgages is so high. By the way does the cc company have a case ala did you take out a cash advance or charge a bunch of things - non-essential - right before you filed? Who is the creditor?

[gfoll414]

cash advance

edward, took out cash advance to pay mortgage.

[Minnymouth]

So your telling us you used a cash advance from Chase to pay your mortgage payment and you are still 2 payments behind on the mortgage payments......
And now Chase called for an adversary hearing.... they are objecting to dismissal based on abuse, the cash advance to pay mortgage.
Have the mortgage company contacted you over foreclosure? You cannot reaffirm if you payments are behind.....

Need more info....

[edwards2]

gfoll414 - ..okay the mortgage company is threatening foreclosure because you are 2 payments behind..and you used a cash advance to catch up. How many months did the cash advance buy you? Dont misunderstand us at all.....we are not judging you...we are trying to help. We have all truly been there...done that. So from your post the mortgage company(lst mortgage - Countrywide) has not contacted you? I have never heard of a mortgage company adding your payments to the end of the mortgage...doesnt mean they wont do it I guess I have never heard of them doing it. However, a lady I talked to yesterday who said her husband's earnings were down and the mortgage company allowed her to make her payments VERY late. Not the norm and unfortunately, in your case you are filing BK so your options are severely limited. All I can tell you is try and work something out with Countrywide. Have they not been calling you about your payments?

[SinkingFast]

A lot of what happens with Foreclosure depends on your Mortgage Contract and the State you live in.

For the most part, Countrywide is just a mortgage servicer. They aren't the actual lender. They are fulfilling their contractual duties to the investor who hired them and holds your loan.

Have you gotten more than one note from Countrywide yet?? The first letter you received,........ Did it come immediately after you missed your 2nd payment?? If so, Countrywide was notifying you that you were in Breach and telling you you had 30 days to Cure. That's pay up or else, basically. What I've learned is at the end of that 30 days, Countrywide will pull your file and review it. CW will decide at that point if they will involve the investor or hold off and wait a bit. If CW decides to hand over your file to the investor, the ball moves to the investor's court at that point. It will be up to the investor whether to Foreclose or not.

So don't panic yet, you've probably got some time with CW. Especially since at one point you sent them some money.

We're in Breach with CW and our Cure date was March 18th. We still haven't heard anything from CW about Foreclosure. I even spoke with a Customer Service Rep last week and he said then if we could send them at least one payment, that would put everything on hold. And that was after the Cure date. I even have neighbors back home watching the local papers for Foreclosure auction notices. Nothing yet. And our Realtor said that CW will send us a letter if/and when anything happens. No letter yet.

You need to check the Foreclosure laws in your State. That will be a big deciding factor in how your Foreclosure is handled. Also check your actual Mortgage Contract. Read thru it. You're looking for a "Right to Sale" clause. If you have a "Right to Sale" clause, that frees the lender from having to pursue a Judicial Foreclosure and everything will move much quicker. Unless,...... You live in New York. NY is always Judicial.

I kinda looked back and did not see that you had filed Pro Se, so I apologize for the attny comments.

I too don't mean to pick. Just trying to understand the position you're in. You took a cash advance from Chase to pay your mortgage which was in arrears. Is that correct?? If so, how long between the cash advance and the time you filed?? Do you know or remember??

If you were beyond the time frame when you filed, Chase is gonna have to prove intent on your part. And that's gonna be hard. In your heart of hearts, when you took that cash advance did you at that very moment have any intention of filing BK?? If the answer is no, then Chase does not have a case. Chase has to prove that you knew you were in financial trouble and that you knew you would file BK. Burden of proof falls on them. If you had some sort of extenuating circumstances going on in your life at that time, something you thought would correct itself and you'd turn the corner financially, Chase is gonna have a real hard time proving their claim.