ZOMBIE DEBT My 'someone' has a Q - Post BK Debt Collections over $300

[xylene]

State - NY

Out of the blue, a 3rd party outfit is calling my friend in reference to a small California payday loan that was discharged in a 2009 BK.

They have been quite aggressive, leaving numerous voice mails on all contact numbers proposing all kinds of action (not just the generic d.c. 'action' but stating they will begin federal indictments and investigations) Telephone calls proceeded similarly. -worthy but a real hassle and a problem as they are calling EVERYBODY.

Also, the collector and her supervisor are aware of the discharge (# and everything) but stated they didn't care. They expect a 'settlement' of $300.

My main concerns are that this has cropped up going on 3 years later and what is to stop this from happening on other trade lines, as well as how to advise her on what best she should do to get this agency away from her.

 

[Mass_Shyster]

See http://www.uscourts.gov/FederalCourts/Bankruptcy/BankruptcyBasics/DischargeInBankruptcy.aspx

What can the debtor do if a creditor attempts to collect a discharged debt after the case is concluded?

If a creditor attempts collection efforts on a discharged debt, the debtor can file a motion with the court, reporting the action and asking that the case be reopened to address the matter. The bankruptcy court will often do so to ensure that the discharge is not violated. The discharge constitutes a permanent statutory injunction prohibiting creditors from taking any action, including the filing of a lawsuit, designed to collect a discharged debt. A creditor can be sanctioned by the court for violating the discharge injunction. The normal sanction for violating the discharge injunction is civil contempt, which is often punishable by a fine.

 

[You Are Guilty]

More importantly, save the voice mails. Sounds like good fodder for some easy FDCPA money.

 

[TigerD]

What is the penalty for violating the bankruptcy stay?

Talk to a bankruptcy attorney about how to handle it.

DC

 

[xylene]

Thanks all, we have recontacted her original attorney.

 

[StephenH]

Send the debt collector a copy of the Bankruptcy discharge document showing the discharge along and a cease and desist letter.