Accounts purchased by another lender.

[teddybeardj]

Hi Everyone. We are about a year and a half into a 3 year plan. I just pulled a credit report for both my wife and I and found quite a few of the accounts currently in the plan have been purchased by another lender. That worries me a little. It almost looks like a creditor sold our account, most likely for a few cents on the dollar after we filed. Is it possible that the new lender can call that a new account, after our file date, and come after us for the amount either during or after our discharge?

What sense does it make for a company to buy the account of a debtor in bankruptcy?

[Arbyone]

Don't worry about it most cc co's have no time for the bookkeeping so they sell it to a settlement company who will track it and take in funds from trustee. They all cc companies will do the same.
Arbyone

[TrainWreak]

I have had one junk debt buyer file two assignment of claims with the court to collect the few dollars from the trustee for the remaining six months of my three year CH13. I have not checked my credit report since then because I had recently did my yearly check. According to my lawyers website and this great site there is nothing to worry about.

[andy158]

I have had one of my cc's claims bought and sold 3x each time getting notice from the bk court. They can't get any more form you than the original lender and can't persue it after discharge.

They buy these bad debts for pennies on the dollar hoping to pull a profit on them.

[shark66]

What sense does it make for a company to buy the account of a debtor in bankruptcy?

It makes A TON of sense.

A majority of Ch. 13 filings gets dismissed. In plain English, they're gambling and betting on one's failure. Yours, mine - doesn't matter. Odds are in their favor, and the price paid for such debt is abysmally low, so the loss - if and when incurred - is nothing to write home about.

That being said, if they contact you after your case has been discharged, sue them to high heaven...

Good luck to us all.