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    Questions around discharge, collateral and tax return

    I am new to this forum, but someof the posts I have read have been very helpful. I just have a couple of questions I am hoping this forum can help me with, as I have a hard time hearing back from my attorney.

    First of all, I see people stating that their discharge and close dates are the same. Is the discharge date also the date the case is closed? I got a notice that my bankruptcy was discharged, but nothing stating it was closed. Can I assume it is? How do I find this out for sure?

    Second, I have furniture that was purchased through American General. My bk was discharged in December and they are still calling me and sending me letters that they want to collect the furniture. Has anyone known of them really doing this? I work in the transportation field and the cost of them actually getting a truck and movers to come pick it up is more than what the furniture is worth, not to mention, the legal documentation they would need to have before I let them into my home.

    Lastly, I just filed my 2008 tax return and I am getting a small refund. If the bk has been discharged and closed, can the trustee still take this refund?

    #2
    Gald to hear that your case was discharged. Good luck in rebuilding your financial house!

    The date that your case is discharged and the date that your case is closed are two different things. The discharge date is the date that you actually receive the green light that you are no longer responsible for those debts covered in the bankruptcy filing. The close date is the date that the court actually closes your case and puts it on the shelf. In asset cases it will usually take several months for the trustee to fully administer the assets (meaning sell them off and pay the creditors) and once he or she is done with that process then the case is usually closed........it's common for a case to be discharged and open for several months to a year while the trustee does their job. A lot of what you're seeing where the discharge date and closed date are the same are for CH7 cases that had no assets. As there was nothing for the trustee to liquidate the case was closed on the discharge date as it was expedient to do so. Not all trustees go this route with no asset cases around this time of year due to the fact that a lot of us get tax refunds which are considered an asset that the trustee desires to have. You can find out the exact standing of your case by checking PACER online and paying a small fee.

    While it does not make much sense to spend the dollars to come pick up furniture, some companies will do it anyway. If you did not reaffirm a debt that was secured with property the creditor has the right to come take it back unless you want to pay for it (even though you're no longer obligated to due to your discharge).

    A trustee may take your refund even though your case has been discharged and closed. If you have been discharged only then there is a chance that your tax refund would go right to the trustee instead of you if they want it. If your case has been closed then they can still get it but it's a little bit harder because the trustee would have to pay to have your case reopened. A lot of cases that are discharged around this time of year are held open for the specific purpose of determining what refunds debtors will receive. If you receive a refund before your case is closed do not spend it. Instead, put it in a savings account and wait until your case is closed before you touch it. You are safe most of the time once your case is closed.
    Filed: 10/25/08 (No Assets, CH 7) :blink:
    341 Meeting: 12/4/08 :aggress:
    Discharged: 2/3/09 :clapping:
    Closed: 2/3/09 :yahoo::yahoo::yahoo::yahoo:

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      #3
      I discharged furniture through American General and I never heard boo from them. They sent a reaffirmation, which we never signed, and they dropped it.

      I wouldn't let them come get the furniture, but that's just me.

      Good luck!
      Filed Chapter 7: 3-22-08
      341 Meeting: 5-15-08 It went great!!!
      Last day for objections: 7-14-08
      Discharged and Closed: 7-21-08

      Comment

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