Ch 13 Dismissed Now Collection Calls

[Johnworker1]

My Ch 13 was dismissed in 8/16. I originally filed a Ch 7 that did not go through, They I had a Ch 13 with payments too high so after a change in my marital status to separated I refiled and got a 4 year plan that I paid the final payment around 4/16. I submitted my tax returns late (after requested) and they saw an increase in salary and dismissed my Ch 13.

My attorney said wait a few months to see which creditors contact. I have gotten calls from representatives of 2 of the creditors after about 6 weeks. Today I got a call from a collector who says they represent 3 creditors incl 2 of the ones who were calling before. She made me listen to her disclosure and in it a statement said "...because of the age of the debt we will not sue nor report whether or not you pay this debt to credit agencies". I started thinking that they never demanded money like usual collectors just asked what am I going to do about the amount. My attorney originally told me some creditors will drop out which seems true because I had much more than 3 on my Ch 13. My attorney is pushing for me filing again but I wonder what is my obligation to old creditors who already written off my debt? The collector said the accounts were from 2010 which is when I think I filed first.

[justbroke]

If the claim is past the statute of limitations (SOL) for collections, then they can't threaten to sue or even demand payment. They can, however, send "nice" letters asking if you'd like to pay while telling you that they won't sue you. That means it's legally noncollectable. Whether there is an SOL issue and whether the time was tolled is a legal question I can't address (especially since it's so State and specific to the type of debt and potential tolling).

I would ask my attorney about tolling and the statute of limitations. I would also tell him/her that the junk debt buyer (JDB) -- the creditor that bought your bankruptcy claims -- said that they can't sue and can't report this to credit bureaus.

If they are uncollectable, what is bankruptcy going to do? The only difference would be that with a bankruptcy discharge, they can't call or write you about the debt. You can actually get them to stop calling by telling them to not call you. Then, they'll only send letters once in a while. (If they are playing by the book.)

(The collector said they are from 2010, but when was the date that they went delinquent? It's not based on when the JDB purchased the claim but when you stopped paying or defaulted on the debt. That date, the default date, is what is likely used in an SOL issue.)

[Johnworker1]

Thanks justbroke!
I've been seeking referrals for another attorney so may not ask mines about this. Looking back on my whole ordeal I am beginning to question my attorney hence in the meanwhile collecting as much "free" info as I can. Up until I found this forum my only source of info was my attorney who isn't the easiest person to catch.

Looking up my state I found:

"Breach of contract for sale under the UCC: 4 years.

Open account or unwritten contract: 5 years. NOTE: Except, as provided in 810 ILCS 5/2- 725 (UCC), actions based on a written contract must be filed within 10 years, but if a payment or new written promise to pay is in made during the 10 year period, then the action may be commenced within 10 years after the date of the payment or promise to pay.

Domestic judgments: 20 years, but can be renewed during that 20-year period.

Foreign judgments are the same time as allowed by the laws of the foreign jurisdiction.

Tolling: A person’s absence from the state or during the time that an action is stayed by injunction, court order or by statutory prohibition tolls the time limit.

Non Sufficient Funds (NSF or Payment of Negotiable Instruments) checks: 3 years of the dishonor of the draft or 10 years after the date of the draft, whichever expired first: 810 ILCS 5/3-118"

My question is which category are credit cards under?

[justbroke]

That is the question. I can't answer that question. From what you write, it appears that your creditor said they can't sue, so they may be going by the five year limit.

[Johnworker1]

Update I ended up getting serve with a summons for court for judgement from my "friendly" credit union that I financed car, boat (both repo'd) and personal loan so filed for Bankruptcy 13 this time 100%.