Questions on Objection

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I have a situation in which I consolidated all of my credit cards to one credit card in July 2008. The amount was 60,000. I made payments on the account in Aug/Sept/Oct/Nov.... then I lost my job. I am in the automotive industry and the income that I Was accustomed to is not there anymore. I have since obtained another job in the industry and am working.... wife cannot find a job and I have a home and 2 children. We decided the best option was to go through bankruptcy. I have a creditor meeting tommorow and my attorney just told me yesterday that BOA has objected to their discharge (I think that is the word). My attorney told me that they would accept 40,000 from me as a settlement - or they would object.

My attorney then told me he would represent me in the matter for an additional 2500$....?!?!?!?!?!

I covered this scenario with him when I first met with him.

Has anyone heard of this or been through this?

[fltoo]

Someone pls correct me if I am wrong, but I believe that this has nothing to do with you. Let the creditors fight it out.

[dingdong]

When did you file BK?

How long has it been since the last charge on the BOA account?

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about 40 days ago.... I haven't charged on the BOA account since the initial transfer... I transfered the entire line into my checking account to consolidate debt... and that was after I paid them 15,000 to pay them off in full so I could take advantage of the low rate...


July 2008 was the last charge

[dingdong]

Just want to start with a caveat, I could be wrong. But I thought that creditors had a valid reason to object stating fraud/abuse if the charges were made within a 90 day period before filing. Your charges seem to be outside of a 6 month period and you made payments on the charges.
DId you buy anything that could be considered a luxury with the BT money?

The 2500.00 fee seems high, but considering the alternative, 40,000.00, it might be a good investment.

I doesn't seem like BOA has a great case to challenge the charges since they were made over 6 months ago, but again, I could be wrong.

Hopefully a guru will chime in who has better knowledge on the subject.

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I hope so. I am a little upset because I was upfront with the attorney concerning this (and all aspects of my case) and he said it should not be an issue....

Now it is and he wants another 2500...? I would have surmised that this was part of the bankruptcy case...

[dingdong]

Read HHM's sticky on CO

http://www.bkforum.com/showthread.php?t=20078

here is a bit from it

3) Do nothing. Sometimes, if the creditor's case is weak, they may threaten an objection in hopes of getting a reaffirmation agreement, but if you call their bluff, and do nothing, the creditor "might" simply walk-away. Obviously, this last option is inherently risky and should only be made in consultation with your attorney that can assess the strength of the creditor's case.

Seems to me BOA may be trying to bluff

Were you insolvent at the time you made the charges?

OR was there an event ( job loss, loss of hours) that caused the BK filing after the BT?

It doesn't seem like they have a good case to object.

Of course the lawyer will want to take your 2500.00 to go to court for an hour.

[dingdong]

"I would have surmised that this was part of the bankruptcy case..."


Usually your intial fee is for filing and representation at the 341 hearing.

There is probably a clause in your contract with the attorney that states any other representation is fee based and in addition to the fee you already paid them to file.

[GWBcasualty]

Read HHM's sticky on CO

Were you insolvent at the time you made the charges?

OR was there an event ( job loss, loss of hours) that caused the BK filing after the BT?

How about the economy went into the toilet in the 2nd half of 2008 and is now in a depression??

I may be wrong but it seems to me that anyone filing in 2009 can use that defense to all objections.

[2Bshinyandnew]

I have a situation in which I consolidated all of my credit cards to one credit card in July 2008. The amount was 60,000. I made payments on the account in Aug/Sept/Oct/Nov.... then I lost my job. I am in the automotive industry and the income that I Was accustomed to is not there anymore. I have since obtained another job in the industry and am working.... wife cannot find a job and I have a home and 2 children. We decided the best option was to go through bankruptcy. I have a creditor meeting tommorow and my attorney just told me yesterday that BOA has objected to their discharge (I think that is the word). My attorney told me that they would accept 40,000 from me as a settlement - or they would object.

My attorney then told me he would represent me in the matter for an additional 2500$....?!?!?!?!?!

I covered this scenario with him when I first met with him.

Has anyone heard of this or been through this?

So, you have filed a BK petition, and you have not had the 341 yet (its tomorrow?)? Has BOA said they intend to file an Adversarial Proceeding (objection) or have they actually filed an AP with the court?

If they haven't actually filed an AP (objection) with the court, I suspect what Dindong suggested may be the case. and what HHM wrote in http://www.bkforum.com/showthread.php?t=20078 is applicable.

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As GW stated.... that is what happened... I had been doing extremely well as I have been int he industry for over 10 years.... and have been successful - I even just upgraded my home and put money down .... but I Was laid off in November... on top of that 2 HUGE dealerships closed down on my area thereby limiting my job search

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341 is tomm... we just got wind of this from my attorney yesterday - it was an offer to settle or they would file an objection.

[yuckhatethis]

I'd bet they're bluffing-I would ignore them, but that's just me.

341 is tomm... we just got wind of this from my attorney yesterday - it was an offer to settle or they would file an objection.

[dingdong]

See if they show up to the 341, the Trustee may just put them in there place right there, especially since you had a job loss in NOv and that is when you stopped payments ( correct)?


It seems you have a very good chance of fighting it.


You were not insolvent when you made the charges.


You made payments on the charges.

You lost your job, the economy is crap, ergo BK.

What else are you supposed to do, especially when the stupid CC companies do rate jacks and other crap.

Why don't you ask the BOA attorney if you can use some of the bailout money they received to pay your debt since your tax dollars are bailing them out of their mess!

Seems like a fair trade! ( I am kidding of course, but if that isn't the pot calling the kettle black, then what is?)

Bof A is getting money for their bad assets, looks like they were paid back already!

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Now that is something I would like to say to them!