Debt Collector Harassment

[mcwjjm]

What is the name of your state (only U.S. law)? Ohio Last Summer I set up a direct withdrawal with a law firm / debt collector for a loan I co-signed. Last month I discovered that debt should was dischargeable with my Charpter 7 filing in 2005. * I faxed a letter to them along with a copy of Chapter 7 and loan papers requesting the cancellation of our previous agreement. I also contacted my bank and put a stop payment on the withdrawal.

Yesterday I get an alert that the withdrawal went through. I contact the bank, they explain the stop payment was not prcessed correctly [on their end] and will refund me. But also said that they would not be able to do that in the future because the [shady] collectors could simply change the check number / amount and the withdrawal would go through. They advised me to close the account tomorrow. Fine.

I anticipate a call from them once my bank reverses it and they discover I've closed my account. Is there anything I can do to stop them from harrassing me? I've already provided them with the current contact info for the co-borrower. TIA.

* I confirmed this with the underwriters of the loan and my attorney that processed the Chapter 7.

 

[justalayman]

well, the first thing you need to do is decide if the debt was dis-chargeable:

that debt should was dischargeable with my Charpter 7 filing in 2005.

then, figure out it the debt was discharged.

Then, you need to ask yourself; why did I reaffirm a debt that was discharged through my bankruptcy rather than simply telling the creditor at the time the debt was discharged in the BK?

 

[mcwjjm]

then, figure out it the debt was discharged.

Typo. The loan was included in my Chapter 7 filing.

Then, you need to ask yourself; why did I reaffirm a debt that was discharged through my bankruptcy rather than simply telling the creditor at the time the debt was discharged in the BK?

Good question. When I spoke with my attorney he told me the co-signed loan would be dischargable. A couple of days later when I signed he said "college loans were not dischargeable". Stupid me never actually read the entire Chapter 7 documentation until a few days ago to find the loan in question listed along with my other debts. I called him yesterday and he confirmed the loan was dischargeable when we filed in 2005 and apologized for an confusion.

 

[justalayman]

Good question. When I spoke with my attorney he told me the co-signed loan would be dischargable. A couple of days later when I signed he said "college loans were not dischargeable". Stupid me never actually read the entire Chapter 7 documentation until a few days ago to find the loan in question listed along with my other debts. I called him yesterday and he confirmed the loan was dischargeable when we filed in 2005 and apologized for an confusion.

tell the loan servicer to head over to the co-signer to collect. Your BK discharged the debt.

I think you might have a problem with reaffirming the loan though. With any luck they will simply go after the co-signer and not try to claim you reaffirmed the debt by whatever action you took to allow the direct withdrawals.

 

[TigerD]

tell the loan servicer to head over to the co-signer to collect. Your BK discharged the debt.

Perhaps, but his payment may have reaffirmed it.

I think you might have a problem with reaffirming the loan though. With any luck they will simply go after the co-signer and not try to claim you reaffirmed the debt by whatever action you took to allow the direct withdrawals.

The OP needs to had the entire issue over to his BK attorney. There are several issues. If the debt was properly included in BK, the automatic stay may have been violated.

The OP will need professional help with this one if the CA uses his payment as affirmation of the debt.

DC

 

[mcwjjm]

Thanks fellas I think I'll do that - turn it over to my BK attorney.