ndkblondie Posted October 7, 2008 Report Share Posted October 7, 2008 Hi, We are working on getting a LOAD of paperwork together to file for ch 7. Meanwhile, I have my first account that is filing a judgement against me. I spoke to them today, it's with Chase Bank, they offered me a settlement of 45% but said they could go down to 39%, (gee, I wonder which one I would take, duh!) anyway, when I informed him that we were about to file BK he told me that BK doesn't wipe out Judgements because the court won't let a judge over write another judges ruling. I said I would need to consult with my attorney about it and he then told me, very kindly, that I couldn't trust what my attorney would tell me because if I don't file, the attorney won't get paid so they very often mislead people like me into filing when there is no hope or guarantee for loans that are judgements.I then called my attorney and he said that this guy was full of it and that he is violating the fair credit something act. Which one do I believe? Attorney, right?Thanks for the help, this really rattled my cage because I have several that are going to start filing judgements against me in the next few weeks. Hanging in there, with a wing and a prayer! Link to comment Share on other sites More sharing options...
bingo Posted October 7, 2008 Report Share Posted October 7, 2008 LOL!http://doney.net/bkcode/11usc0524.htm(a) A discharge in a case under this title--(1) voids any judgment at any time obtained, to the extent that such judgment is a determination of the personal liability of the debtor with respect to any debt discharged under section 727, 944, 1141, 1228, or 1328 of this title, whether or not discharge of such debt is waived; Link to comment Share on other sites More sharing options...
nascar Posted October 7, 2008 Report Share Posted October 7, 2008 Do you think that the debt collector was simply making an honest mistake? OP, your attorney is right, the debt collector is violating the fair credit something act. Link to comment Share on other sites More sharing options...
jq26 Posted October 7, 2008 Report Share Posted October 7, 2008 If they've put a lien on your property, then your attorney would also need to file a motion to strip the lien. One caveat. If the reason for judgment falls within certain statutorily created exceptions, then it may not be dischargeable. Examples of this are domestic support obligations, injury caused while DUI, and willful & malicious injury. From what you've posted, you should be fine.Section 523 (link below) gives the exceptions to discharge. Section 524 (linked by Bingo above) states that any judgment for a dischargeable debt is automatically voided. When you put these two sections together, the Code is telling you this: As long as the debt that led to the judgment against you is not on the exceptions list in section 523, then the judgment is automatically voided under section 524. http://www.law.cornell.edu/uscode/11/usc_sec_11_00000523----000-.htmlSome debt collectors are liars. They get bonused when they hit collection goals. Other debt collectors are just clueless. This guy could be in either of the two camps. But he should probably lay off giving legal advice. Link to comment Share on other sites More sharing options...
Methuss Posted October 7, 2008 Report Share Posted October 7, 2008 Debt collectors hear "we're about to file bankruptcy" all the time. Their goal is to get you to pay. And frankly, you are under no legal protection until your case is actually filed with the court. This person was trying to convince you that judgments cannot be bankrupted in order to trick you into paying, it's that simple.Collectors in general get minimal training on what the laws are. One thing they ARE told is that bankrupted debts can be paid if the debtor freely chooses to do so. This is actually true. The collector is allowed to ask you if you want to pay a discharged debt. But they cannot force anyone to pay on a bankrupted debt or use any sort of coercion to get a payment. Once the debtor refuses to pay the bankrupted debt, the collection attempts must immediately cease.This loophole has unfortunately led to the underground industry of selling bankrupted debt to junk debt buyers. You may bankrupt the debt, but it can still haunt you if it gets traded around. Personally, I think it should be illegal. But so long as the BK code says a debtor can voluntarily pay a discharged debt, JDBs will keep trying to collect on it. Link to comment Share on other sites More sharing options...
ndkblondie Posted October 7, 2008 Author Report Share Posted October 7, 2008 You are all soooo Awesome! Thank you for the great info and knowledge. This forum is the wind at my back getting me through this. I know that sanity is just a few clicks away whenever something new and unknown pops up.You are right, he was trying to trick me in the nicest way possible. Very sneaky.Onward I go! Link to comment Share on other sites More sharing options...
Recommended Posts