discharged but case still open. Does stay still exist?

[Tom_Mi]

I'd been keeping my house pmts current until last month.

During my BK between Jan-Apr, the banks filed motions to lift the stays on my rentals, but NOT my home. Discharge was in April.

But the case hasn't been closed.

Will my bank still have to file a motion to lift the stay prior to foreclosure, or does the stay go away at discharge (even with the case open)? I'm thinking of challenging the upcoming foreclosure on my home, but don't want the expense of a lawsuit. If the bank had to file a motion, I could just watch for it and defend it there --- more cheaply.

[AngelinaCatHub]

As long as you pay through they are not likely to repo. It is a good gamble as there is quickly becoming a massive inventory of empty houses.

The stay stops when you are discharged. We have been open for more than 15 months after our discharge. We were an asset case and the Trustee more than a month ago gave the Court the final accounting, yet the Court has not acted upon it yet. Guess they are really busy. 'Hub

[AngelinaCatHub]

Oh, one other note, the stay in a 13 is maintained for the life of the 13 completion. That is when the 13 is discharged. So in both cases, just being open does not protect the debtor from possible foreclosure. 'Hub

[justbroke]

Almost all secured creditors will file a motion for relief from the automatic stay (MRFS) just to ensure that they will have no issues. In your case, however, you were current, so I don't see that they would have filed a motion. Your discharge would allow them to pursue you under State non-bankruptcy law.

The stay, imposed by 11 USC 362, ends upon the earlier of...

• a dismissal of the case under any Chapter
• for a Chapter 13, the case is closed
• for a Chapter 7, a discharge order is entered (whether granted or not)
• upon the granting of Relief from the Automatic Stay after a creditor in interest moves for such relief
• property is abandoned from the Estate

[Tom_Mi]

Thanks. We stopped paying in Sept, and I expect foreclosure to happen. I'm just trying to delay it.

I was just hoping they'd have to file a motion to lift the stay prior to foreclosing.

[AngelinaCatHub]

Thanks. We stopped paying in Sept, and I expect foreclosure to happen. I'm just trying to delay it.

I was just hoping they'd have to file a motion to lift the stay prior to foreclosing.

They don't but the process will take at least three months. Longer if you do not move, then they will sue you for repossession and that would give you 30 to 60 more days. 'Hub

I believe it is called a 'writ of eviction'.

[justbroke]

Thanks. We stopped paying in Sept, and I expect foreclosure to happen. I'm just trying to delay it.

If you're in Michigan, as your name suggests, foreclosure can take 150 or more days from the time of your default! With how slow everything is... I wouldn't be surprised if that's easily 180 days (6 months) or more.

[Tom_Mi]

Yeah, michigan has a 6 month redemption period after sheriff's sale. I'm thinking I have 9months from default.

Since my wife is still looking for a job, I'd like to stretch it to 12 or 18 months. In michigan though, all they have to do is "advertise" and there's no court proceeding for me to intervene and challenge the bank.

[AngelinaCatHub]

Yeah, michigan has a 6 month redemption period after sheriff's sale. I'm thinking I have 9months from default.

Since my wife is still looking for a job, I'd like to stretch it to 12 or 18 months. In michigan though, all they have to do is "advertise" and there's no court proceeding for me to intervene and challenge the bank.

Well have you considered to save that money on rent for a year (if able) and put it to a move to a better state. Yes I know, it is tough everywhere, but Mich is about the worse.

My Grandfather used to say that Chicago was a sure job and if you could not get a job in Chicago, you aren't looking. BTW I would not wish Chicago on anyone, but industry seems/ed to flourish there. 'Hub