Discharged debt in bankruptcy

Рет қаралды 6,284

5 жыл бұрын

What is discharged debt from your bankruptcy?
How do companies violate the discharge order?
What do you do about it?
We'll be doing more videos on this -- I wanted to share a kind of overview video first.
Thanks for watching!
John G. Watts
Watts & Herring, LLC
Representing consumers across Alabama
205-879-2447
www.alabamaconsumer.com/
"No representation is made that the quality of the legal services to be performed is greater than the quality of legal services performed by other lawyers." Our free weekly webinar is here -- my.demio.com/ref/ZHxa8NhYRNAp... -- on Thursday we'll be talking about some of the new FDCPA rules. Join us if you can!
"No representation is made that the quality of the legal services to be performed is greater than the quality of legal services performed by other lawyers."

Пікірлер: 57

@carmenchaux67 Ай бұрын

Thank you. It is excellent to know that .

@jayb7125 5 жыл бұрын

John is Awesome!! Thank you for sharing. ⭐️⭐️⭐️⭐️⭐️

@johngwatts 5 жыл бұрын

You are welcome!

@johnereyimwen1246 5 жыл бұрын

Thank you very much. Yes the video was very helpful

@johngwatts 5 жыл бұрын

I appreciate your encouragement -- have a great day! John

@Kelmanila 4 жыл бұрын

I’m going to call your office tomorrow. You are not only hilarious, you’re also highly relatable and knowledgeable! Thank you!

@johngwatts 4 жыл бұрын

:) Thanks! John

@alphamasterjames1667 5 жыл бұрын

Love the casual look in this video John used to seeing u in a suit haha

@johngwatts 5 жыл бұрын

Honestly I hate wearing suits. As soon as I'm out of court, I'm throwing on some jeans and a tshirt. :) John

@jin8766 5 жыл бұрын

Thank you so much!

@Mr.SetApart 3 жыл бұрын

PURE GOLD!!! Thank you brother!

@johngwatts 3 жыл бұрын

You are very welcome!

@iSee109 4 жыл бұрын

Excellent video! Thank you!

@johngwatts 4 жыл бұрын

You are welcome -- thanks for watching!

@alphamasterjames1667 5 жыл бұрын

Omg I love it u did this for me didn’t u John !

@johngwatts 5 жыл бұрын

Kind of thought you would like it my friend. It is a growing problem -- we stopped seeing folks violate this a few years ago but they are back at it. Never underestimate the greed or stupidity of the bad guys. ;) John

@melissahannah587 4 жыл бұрын

Thank you !!!!!!!!!!!!!

@millionairejeffjr 4 жыл бұрын

Your videos are awesome man! Thanks for sharing

@johngwatts 4 жыл бұрын

Thanks for your comment! John

@williamalvarado7810 4 жыл бұрын

Thank you for your informative information is very well explained. I’m thinking about moving to phenix city, Alabama is a beautiful place to live.

@johngwatts 4 жыл бұрын

You are most welcome! Hope you enjoy Alabama! John

@chrismorgan6149 5 жыл бұрын

Suggestion: Tell us any experience you have had with Lexus Nexus reporting to CRA

@johngwatts 5 жыл бұрын

Chris -- good suggestion. Let me think on that as usually Lexis Nexis is usually behind the scenes. But as a starting point people should pull their reports and see what's on there as LN is a credit reporting agency -- they just happen to supply a lot of data to the big three reporting agencies. personalreports.lexisnexis.com/access_your_full_file_disclosure.jsp Thanks again! John

@gambledog Жыл бұрын

I received a discharge letter. Says granted discharge under 11 usc and 727 granted. Did a 7 . WonderING what those codes represent. Please help

@uriahsmama84 4 жыл бұрын

What about the items included in the bankruptcy? Should the report list the payment history and amounts you owe?

@johngwatts 4 жыл бұрын

Jackie, If we are talking about discharged items (normally through Chapter 7) then the history up through the filing of bankruptcy can be listed if it is 100% accurate. After discharge, the amount of the balance should be zero and it should say "Discharged in Bankruptcy" or "Included in Bankruptcy" in the comment/status. During that period between filing and discharge, the balance can stay whatever it was but they should not be updating it or the monthly status. The reason is the debt is still owed (until discharge) but there is an automatic stay in place that freezes any collection activity. Hope that helps! John

@uriahsmama84 4 жыл бұрын

Alabama Consumer Protection Lawyers thanks a bunch!

@outdoorgears9533 3 жыл бұрын

Update I payed that loan off in 2013. They still have discharged chapter 7 in the comments section. hat means It will soon be on my report for 20yrs!!

@johngwatts 3 жыл бұрын

That is wild -- let's talk about this -- see other comment -- reach out to me www.alabamaconsumer.com/contact-us/ thanks! john

@AndreOutlaw 4 жыл бұрын

I didn't know that I could sue on the first attempt to collect. I had someone call about a week ago trying to collect on a debt that was discharged in chapter 7. The place was pretty shady and didn't want to admit that they were a debt collector. Depending on who I spoke with at the place they were a "processor" working for a client. On a separate call, when I actually had someone that would speak with me, they admitted that they purchased the debt from someplace. The person I spoke with (some call center person) didn't have information on who the purchased the debt from (though I would imagine it was LNLV as they were the last to have it). I wanted to get as much information as possible so if I heard from them again I could unleash the lawyer(s). I'm going to imagine that this is simply some zombie debt collection place that was hoping to get lucky around tax time. I did give them the case number for the discharge. I thought it was interesting that they weren't interested in receiving any documentation or even what state the discharge happened. Heck, I even had to ask if they wanted the date that it was discharged. Offers to have them speak with my bankruptcy attorney was met with: "if you want to have the lawyer call that's up to you". So for now it seems to be a none issue. But I'll keep this in mind if I do a call from someone trying to collect on discharged debt.

@johngwatts 4 жыл бұрын

Andre some places just don't care -- they may be a complete scam place and figure you won't be able to sue (or collect if sue). Sometimes the debt was not properly listed in the bankruptcy but if it was (and sometimes even if it wasn't) the discharge works even against later collectors. And you telling them was a good move -- hopefully they never bother you but if they do, the warning makes it that much worse for them. Keep an eye on your credit report for these types of issues: **Any discharged debt (NOT reaffirmed) that has a current balance **Any discharged debt (NOT reaffirmed) showing updated status after the bankruptcy discharge **Reaffirmed debt that says "discharged" with zero balance **Accounts showing late or missed payments during the bankruptcy If you have anything like this or other questions, have a consumer lawyer who does FCRA (Fair Credit Reporting Act) work in your state take a look at your reports as you may have some claims or at least some disputes to do that can lead to some claims. Best wishes! John

@marieg5300 5 жыл бұрын

I have a question once you discharge just that was just stay on your record for 7 years

@johngwatts 5 жыл бұрын

Marie G, So a chapter 7 bankruptcy stays on your report for normally 10 years. Chapter 13 for 7 years. The accounts included in and discharged in bankruptcy stay on the normal time -- negative for 7 years from the date of first major delinquency. So say you defaulted on a Capital One card in 2014 and filed chapter 7 in 2017. The bankruptcy itself will stay on till about 2027 but the Capital One account will fall off in 2021. Let me know if that answers your question. Thanks! John

@roberttipton5130 4 жыл бұрын

@@johngwatts So why would anyone who was Sane go Chapter 13, pay the Debt, and STILL have it on their Record for 7 years? We paid the Debt so why are we being PUNISHED when thousands are going Chapter 7 and getting high interest Credit Cards!!$$!$$$!!!😠

@johnereyimwen1246 5 жыл бұрын

Great video

@johngwatts 5 жыл бұрын

Thanks!

@Russplight 5 жыл бұрын

Hi John, what if the letter claims if has a disclaimer claiming if the debt is charged that it is not an attempt to collect?

@johngwatts 5 жыл бұрын

So this is a fascinating question. Some judges rule that this is a get out of jail free card. A friend of mine says it is like punching someone in the face while telling them you are not punching them in the face. Other judges don't buy this. My argument is the company knows whether the debt is discharged or not. If not discharged, don't put the disclaimer. If discharged, then don't say I owe the money. I'll add to my list to cover some of those opinions. Thanks for question John

@glennthornton9357 4 жыл бұрын

Question: Let say you was trying to remove something off your credit for almost a year.. If the credit bureau finally decides to remove it after many letters, can a person still take the Credit Bureau to court? Thanks!

@davelamb5895 3 жыл бұрын

So, you're saying that the original creditor will go ahead and sell the discharged debt to bill collectors, and the bill collectors will be stupid enough to try to collect?? I hope they sell all my dicharged debt and the idiot collectors start calling me!!! My attorney and I will be very happy!!

@johngwatts 3 жыл бұрын

Sometimes it happens. Usually just on one or two account but if you see it, hammer them! :) John

@mercedessantos2979 5 жыл бұрын

Can you file a proof of claim 410 form with the chapter 7 bankruptcy.

@johngwatts 5 жыл бұрын

Mercedes, I honestly don't know -- I don't file chapter 7s. I get more involved in suing companies that violate the discharge order. Sorry I can't help you!

@mercedessantos2979 4 жыл бұрын

@@johngwatts the problem is they won't even flinch to correct the account. I don't want to initiate a payment for something I don't owe. The home has been empty for two years and the municipality is charging me sewer when the water has been closed and for garbage. What gets me upset the most they add on all these extra fees.

@johngwatts 4 жыл бұрын

That sounds incredibly frustrating -- hope you get some answers soon!

@harrywinks5296 4 жыл бұрын

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@tallyroll235 3 жыл бұрын

I have a ex wife that put me in contempt for not paying her I don’t have the money to pay her .So I filed bankruptcy to block the crooked judge her attorney is buddy buddy with has conflict of interest.Anyways I filed chapter 13 to have a injunction on my wife and her attorney because my case is only a property settlement case which I don’t have any domestic subject obligations.My issue is my house is way behind in payments and the Covid relief protection is running out .She wanted to wipe out all my 401k so leaves me with no retirement money .Which she got to see in the divorce how much I had in it and she went crazy wanting all of it which retirement accounts are protected under federal law from creditors.Well anyways I was blackmailed into a divorce settlement I couldn’t do without bankruptctinng me which it did.I’m facing contempt charges and I was wondering how can I bust the contempt motion using the bankruptcy how soon can I get a discharge from a property settlement case in divorce or can I try push my attorney to get a hardship discharge from the settlement.I got a wolf and a snake at the door and I want out and just walk away with my pants up and not strapped naked and taken to the cleaners 😂. What’s the process of getting a discharge faster like this I’m in chapter 13 which is the only way I can get rid of the property settlement that’s why I forced my attorney to put me in a 13 not a 7.I just want peace of mind knowing all I need to do is worry about paying my house payment and not worry about paying my ex spouse so I wish I could get a discharge sooner like now in the beginning of the plan with a hardship discharge.Is there away I can do it and I just filed?

@InezPretty 3 жыл бұрын

How long does it take to get discharged from a chapter 7 John?

@johngwatts 3 жыл бұрын

Inez, it can vary by district. But typically (at least in AL) it is normally 3 months or so. COVID has certainly disrupted the schedule but if you ask a bankruptcy lawyer in your area, they usually can tell you pretty precisely. Best wishes in your research! John

@wandagreer9144 4 жыл бұрын

I have searched for an email to reach you and have not found one; sorry if I have overlooked the link. Question I need answered - my husband filed bankruptcy without me, and included our car (in his name. That's ok, he made almost 3 years of perfect payments. Then he died. I can't afford to make continued payments. What happens to my car? Thanks.

@johngwatts 4 жыл бұрын

Wanda -- email is john@wattsherring.com. Is the car ONLY in his name? The loan is only in his name? First have to figure out who gets the car -- did he have a will, etc? But if you can't afford the car, and it is not in your name, the car finance company should be fine with picking it up. I would talk to a probate lawyer in your state to see if anything different or special about your situation. Sorry for your loss and hope things get better for you as quickly as possible. John

@wandagreer9144 4 жыл бұрын

Thank you! I have responded to your email. Be blessed!

@pearljamin 3 жыл бұрын

I filed a chapter 7, recently received my discharge. My job was also eliminated due to COVId. I have 2k in a 401k I now need. I’d there anything we should know for post discharge? Is it ok for me to cash out my 401k? Is there anything I have to do?

@johngwatts 3 жыл бұрын

You'll want to get with your bankruptcy lawyer on this. I don't think there are any special bankruptcy issues but of course you'll potentially have tax consequences etc. Best wishes! John

@myytchannel6632 3 жыл бұрын

You can take the $2k under the CARES Act for COVID. But I strongly advice you to pay your taxes of atleast 20%. That is $400. So, they will give you only $1,600. But you would have paid your taxes of $400 upfront. Trust me. You are better off paying your taxes the day you get the money or you may never be able to afford that money down the road and start owing taxes. And that is never good.