Sears Breach of Reaffirmation Agreement

[Post BK Blues]

What is the name of your state?What is the name of your state? FL

I filed chapter 7 bankruptcy in 2003 and was discharged. I reaffirmed a debt with Sears (owned by Citibank) for $750.00 at zero interest. The reaffirmation agreement was filed with the BK Court and approved by the BK Judge. I was advised that Sears would start sending me bills/statements after my discharge. Sears in turn agreed to keep my account open to help me rebuild my credit.

It has been 11 months since discharge and Sears has yet to send me ANYTHING. I have written them two letters (CMRRR) asking them to honor the terms of the reaffirmation agreement, to start sending me statements again, to give me online account access again, AND to issue me a new credit card because mine expired. Even though I have received nothing from them, I have made several payments in person at a Sears store ($375 so far). Going to a Sears store is a pain in the butt but it's the only way I can pay!

Besides the CMRRR's I have called them 3 times. I keep getting the runaround. The last time I was told my new card would be processed immediately and I would receive a statement on December 4th. Well, here we are at year end and still nothing.

I am sick of this. I have no problem paying this reaffirmed debt but I want SEARS to do their share. They are clearly breaking the terms of the reaffirmation agreement. My BK lawyer doesn't handle this type of stuff (he told me "write them another letter") and I have no idea about what I can do to solve this problem. Do I call the BK Court? If this is not a BK Court problem anymore, then what do I need to do? Is there even an attorney that would be interested in suing Sears for the blatant breach of contract?

Any advice will be appreciated. Thank you.

 

[rachelsfx]

Call Sears

Simply call Sears on the 800 number and find out their address and send a copy of the BK docs and their agreement to allow your credit card to stay as is.

 

[Post BK Blues]

I did that, twice. I sent both letters CMRRR with copies of the signed and court-stamped reaffirmation agreement as well as copies of my discharge paper. The first letter went to the Sears BK Department, addressed to Jamie Viers who is the Bankruptcy Team Manager. I got my green "received on" card back but no response. The second letter went to another Sears address given to me by their 800 number. Same story. I have physical proof they got it, yet no response.

This is the last item left from my nightmarish bankruptcy and I really want to put it all behind me. I want to get my statements, online access, pay the rest of what I owe and put it all in the past. I am not interested in suing Sears for money. I just want them to do what they're supposed to do!!!!!

What kind of lawyer would help me with this? Anyone know? Thanks.

 

[Tankerwife]

You should go back to your Bankruptcy Atty.

 

[MCRXN]

Same old thing

louisville Ky

I hate to think it, but I think sears is running a scam! I have the exact experiance as you do except mine has been 9 months.
they keep telling me to check back on the 16th of every month because thats when they update the bankruptcy accounts.At first I was told it would be 90 day's after my discharge!Then it was 90 days after they recieved the order of my discharge!!! Now they dont know what to tell me...
My attorney wont touch it he just wanted the money to file the bankruptcy
and that was as far as he goes.hopefully another class action lawsuit will be filed I am also dealing with Jamie Viers at Sears, bankruptcy department and she will not ever return a phone call.I cant get another credit card because my credit report shows I have not paid on my sears account for over 9 months! If anyone see's this and you plan on filing bankruptcy do not reaffirm with sears, they will lock up your credit beyond the 6 months it takes to start getting good credit reporting after bankruptcy.

 

[Ladynred]

Whoever reads this - it is NEVER a good idea to reaffirm UNSECURED DEBT !!!

Sears/Citibank rescinded the clause in their credit card terms that gave them a secured interest in purchases. I'm even surprised the BK judge allowed a reaff on an unsecured debt. There is NO REASON to reaffirm unsecured debt, and as you have found, it is nearly impossible to get anywhere once the BK court is out of the picture.

 

[Post BK Blues]

Sure sounds like a scam!

louisville Ky

I hate to think it, but I think sears is running a scam! I have the exact experiance as you do except mine has been 9 months.
they keep telling me to check back on the 16th of every month because thats when they update the bankruptcy accounts.At first I was told it would be 90 day's after my discharge!Then it was 90 days after they recieved the order of my discharge!!! Now they dont know what to tell me...
My attorney wont touch it he just wanted the money to file the bankruptcy
and that was as far as he goes.hopefully another class action lawsuit will be filed I am also dealing with Jamie Viers at Sears, bankruptcy department and she will not ever return a phone call.I cant get another credit card because my credit report shows I have not paid on my sears account for over 9 months! If anyone see's this and you plan on filing bankruptcy do not reaffirm with sears, they will lock up your credit beyond the 6 months it takes to start getting good credit reporting after bankruptcy.

Okay, your story proves my Sears problem is not just a "glitch" as I was hoping. Our situation is almost identical. I keep being told to check on the 4th of each month because that's when they do their BK reaffirmation billings! This is what Jamie Viers' minions keep saying, since Jamie herself has never returned my calls or answered my CMRRR's.

I found an attorney who for $175 will contact Sears via phone and CMRRR (both) to "put them on notice" that I want this matter solved. He says that if the letter doesn't do the trick then I can reopen my BK and sue Sears for contempt, which according to him I'll win in a heartbeat because judges are very strict in such cases and I have thorough documentation of the entire fiasco. This would also cover my legal expenses and my inconvenience.

I'm going to contact Jamie Viers' department one more time, on Monday, and see if I get anything different. If not, I guess I'll have to come up with $175 for the lawyer.

By the way, one difference between your situation and mine is that from the very beginning Sears reports to the CRA's as IIB and $0 balance.]

I'll post back with whatever happens. Thanks everyone!

 

[MCRXN]

Hi Mcrxn Again, LOUISVILLE KY
I Spent All Day Friday Trying To Get Ahold Of Jamie Viers!(sears Team Manager).never Got A Call.. I Talked To Citibank And Even Though They Showed Up In Court And Asked Me To Reaffirm!
They Have No Idea Who The Rep Was Or Any Involvement With My Sears Card, She Did Say They Handled Sears Accounts But Not Her Department!!!she Then Procedded To Direct Me To The People Who Could?after Telling Them My Whole Story Again I Was Informed I Was Talking With A Member Of Sears Bankruptcy Team, Talk About Feeling Like An Idiot!
They Of Course Told Me Jamie Was Out Today As She Always Is.!and To Check Back On The 16th.
Well Im Just Filing A Civil Suit For Contempt And Whatever Else Because This Is All Not Just A New Department Issue Or Whatever Else They Can Come Up With Ive Had It.
Good Luck On Your Problem.

 

[Post BK Blues]

Update on Sears Issue

I retained the lawyer to solve this problem. He got no answer to his letter and was told over the phone that Sears "had a major computer problem and are 10,000 reaffirmations behind because they are doing everything manually." Sears would not commit to a date when they would restore my online access, start sending me billing statements, or send me a new card. At least they didn't lie to him as they did to me and the other poster in this thread and told him it would be done on the 4th or the 8th or the following month. =)

So now I have two choices: Either sit and wait until these jerks get their act together, or pay another couple hundred to the lawyer to reopen my bankruptcy and file sanctions against Sears.

I'll sleep on it for a few days.

P.S. As Ladynred said, NEVER, EVER reaffirm unsecured debt! Don't believe the jerks who promise you it will "help your credit" if you reaffirm. I wish I had known then what I know now.