Chapter 7 Loan Fraud?

[themeis]

Hello:

I purchased a new boat two years ago while I was still employed AND receiving Social Security Disability payments (due to being injured on the job and in a convalescence period)...I am now retiring from the same job due to the same medical conditions and would like to know if this could be considered fraud?

From the creditor's point of view, might I have known back then that I would not fully recover medically and thus should not have taken out the boat loan at that time (ie. being rated as Disabled by Social Security)??

When I took out the loan, I thought that I would stay employed (once I recovered) for many more years.

Thank you.

[biotechsolution]

I wouldn't think so because the loan is secured. They will just take the boat.

[themeis]

Thanks Biotech.

That makes sense that they would just reposess.

[keptdigging]

Two years is a long time. Not to mention it's hard to imagine that there was a "Are You Disabled or Might You Be?" question on the loan app.

It sounds like a case where it would take serious investigation just to come up with the facts you've stated. Two years ago.

They're not going to do that unless you have an enemy somewhere. And then they're still not going to do that because they have the burden of proof and will likely lose and just be out their legal costs plus your legal costs.

And I thought I had a guilty conscience!

Sorry about the disability and the boat though.

[Mensa1]

People who are disabled are allowed to buy boats too.

I get the question, and NO the lender will have no recourse and doubtful that they will be this analytical over the acct. The worst enemy of yours here is YOU. It seems like you have a quilty conscience and I would suggest that you get over that before proceeding thru the Bk process.

Things happen, people make decisions, good or bad, sometimes it works and sometimes it doesn't. No crime in that. Should you have known better? If that was the question then a lot of debt wouldn't be discharged, but that isn't the question... in your case or any case.

[keptdigging]

If poor decisions were a crime, EVERYONE would be in jail. Not just those of us here!

[kornellred]

If poor decisions were a crime, EVERYONE would be in jail. Not just those of us here!

How right you are!

[JackBondLove]

Hmm ... you are disabled but you can drive a boat. Have you ever thought about being a pleasure boat captain?