Chap 7 and Timeshare

[donnymax62]

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

Our chap 7 bk was discharged in July, 2004. We included a timeshare in our assets. It was ruled a no asset bk and the court returned the timeshare to us.

Are we under obligation to continue to pay the maintenance fees every year on this timeshare or is that also discharged in the bk? The timeshare owner is threatening to send us to collection if we don't pay the back and future fees.
According to him, they have pursued several cases like this and have been successful.

We do not want to have a collection on our credit report as, obviously, we are trying to rebuild our credit and get a mortgage loan in the near future. That would severely hamper our efforts, I think.

The accumulated fees are over $600.00 and would be difficult to pay at this time. Are we legally obligated for this?

Thank you for your help.

 

[bigun]

They are as full of s*** as a Christmas turkey.
Report their conduct to your attorney.

 

[donnymax62]

They are as full of s*** as a Christmas turkey.
Report their conduct to your attorney.

I think so too. I'm calling my attorney tomorrow to find out for sure.
If they sic a collection agency on me it will surely create a can of worms for my credit report. I'm sure it will be a difficult task to stop and rectify it at that point. Would I have any recourse against the timeshare owner if he, in fact, does it?

 

[bigun]

You will have recourse aaginst everyone involved. Here's a very recent case where both Bankone and a collection agency got to write a check.

http://207.41.19.195/decisions/20031121-pk-KEVIN_L._HROMIDKO_and_KARRI_J._HROMIDKO.html

 

[donnymax62]

You will have recourse aaginst everyone involved. Here's a very recent case where both Bankone and a collection agency got to write a check.

http://207.41.19.195/decisions/20031121-pk-KEVIN_L._HROMIDKO_and_KARRI_J._HROMIDKO.html

The timeshare owner stated that, according to their attorney, timeshare is considered a second home and is exempt from the automatic stay. He also stated that they have been successful in previous cases like this in collecting the debt.

 

[bigun]

NOTHING is exempt from the automatic stay unless, they file from relief of stay.
Once a bk is discharged, the stay becomes a permanent injunction against collection actvity. I'd be happy to let the pwner roadtest this theory.
They're bsing you. Quit tlaking to them and start talking to your lawyer.

 

[donnymax62]

NOTHING is exempt from the automatic stay unless, they file from relief of stay.
Once a bk is discharged, the stay becomes a permanent injunction against collection actvity. I'd be happy to let the pwner roadtest this theory.
They're bsing you. Quit tlaking to them and start talking to your lawyer.

I hope you're right. Sounds like they are using scare tactices as they know that we certainly do not want a CA on our tails...

 

[donnymax62]

NOTHING is exempt from the automatic stay unless, they file from relief of stay.
Once a bk is discharged, the stay becomes a permanent injunction against collection actvity. I'd be happy to let the pwner roadtest this theory.
They're bsing you. Quit tlaking to them and start talking to your lawyer.

Why do you think they would say that the timeshare maintenance fees are exempt just because it is considered a second home? My understanding of the bk laws is that not even your primary home is exempt unless you indicate to the trustee that you want to keep it and reaffirm it in writing. Isn't this true?

 

[bigun]

The question you posed is, exempt from the automatic stay. Nothing is exempt from the automatic stay. That means, a lender may not proceed with foreclosure or any other sort of collection activity until they file for relief from stay.
If the debt is discharged in bk as you say this timeshare was, it's over as far as the creditor is concerned.
Speak with your lawyer. He /she should get this taken care of quickly.
As to why they're telling you this-brace yourself-people will lie where money is concerned.

 

[donnymax62]

The question you posed is, exempt from the automatic stay. Nothing is exempt from the automatic stay. That means, a lender may not proceed with foreclosure or any other sort of collection activity until they file for relief from stay.
If the debt is discharged in bk as you say this timeshare was, it's over as far as the creditor is concerned.
Speak with your lawyer. He /she should get this taken care of quickly.
As to why they're telling you this-brace yourself-people will lie where money is concerned.

I definitely will be calling my attorney today. Thank you for your help.

 

[donnymax62]

Bigun,

I spoke with my attorney today and he said the same things that you did. He is going to send them a letter and possibly call them regarding this.

My question now is: what recourse do I have if a CA takes the account and tries to ruin my credit rebuilding efforts? My attorney says that any CA would not be wise to take on an account that was included in chap 7 bk and uncollectable.

 

[bigun]

They are open to sanctions from the bk court as well as the OC. Plus, they will be liable for FDCPA violations in misrepresenting the legal status of the debt.
I'd imagine your lawyer will be able to head this off at the pass. I really think that guy was just trying to see if he could intimadte you into paying. Nobody can be that stupid.

 

[donnymax62]

They are open to sanctions from the bk court as well as the OC. Plus, they will be liable for FDCPA violations in misrepresenting the legal status of the debt.
I'd imagine your lawyer will be able to head this off at the pass. I really think that guy was just trying to see if he could intimadte you into paying. Nobody can be that stupid.

They are the original creditor since they own the resort and charge the maintenance fees, which are the items inquestion here as we do not owe on the timeshare itself.

I hate to seem uninformed but what does FDCPA stand for?

 

[bigun]

Fair Debt Collection Pratices Act governs the conduct of 3rd party debt collectors.

 

[donnymax62]

Fair Debt Collection Pratices Act governs the conduct of 3rd party debt collectors.

How would that apply to the OC, which they would be in this case. The third party would be the CA?