Anyone have any experience with a Dismissed Chapter 13?

[southernmama]

Hey guys! We dismissed last month and was just needing to know if anyone else had any experience for after the dismissal. I'm getting lots of phone calls and my CreditKarma is going crazy with alerts that show credits cards being charged off or certain accounts noting the dismissal. I fully expected this. How long until they start sending garnishment requests or whatnot? Thanks for any info!

[justbroke]

There is no way to tell if or when a creditor will take action on bad debt. Many of the junk debt buyers (JDBs) and even some collection agencies have algorithms to determine whether it is worth pursuing collection. Since you were in a Chapter 13, much of that debt was likely already sold to companies such as LVNV Funding, Arrow, eCast Settlement, Resurgent Capital, B-Line, NCO Portfolio and a host of others.

Since one or two of these may have the majority of your unsecured debt, they may get a little more aggressive with calls and letters, but there is no way to tell their "collection" strategy than to see it in action. You'll likely be offered settlements since those companies literally bought those portfolios for $0.10 or less on the dollar.