Property Manager holding rent

[StartFresh]

This forum is so helpful and I have being learning a lot. I wonder if anyone can help me with an issue I've not seen discussed. I am waiting for a discharge of my Ch 7 filing. I am 80 days from the Creditor meeting so it should be soon. I own a rental property out of state which was being managed by a property company. They dealt with the tenant and collected the rent, deducting 10% and sending me the remainder. I declared the rent to the trustee and said I was surrendering the house. It was not in foreclosure, had very little equity if any, and I had only missed two mortgage payments to BofA. I included the property management firm as a creditor since I am obligated to pay them the 10%. I also wrote to them explaining the situation. Once they heard this, they stopped sending me the rent and are holding it in escrow. They also contacted BofA directly and charged me a fee for doing so and for contacting their lawyer. My lawyer called theirs and said they had no right to the rent since I had declared it as income.
This all seems wrong. Can the property manager keep the rent? Can they talk directly to my bank? Is there still a chance for me to negotiate with the bank to keep the house after the discharge? Their lawyer is ignoring mine, and I don't have the funds to pay my lawyer to handle this further. Thanks so much in advance.

[HHM]

The management company is being extra cautious. They can't keep the rent in the sense it is not earnings to them; but because of the BK, they can freeze payments until they receive instructions from your BK trustee or the case is discharged.

[mtbc]

So, given smooth sailing, sending them a copy of the trustee's report of no distribution after the 341 ought to unstick the funds?

[StartFresh]

Thank you both so much. I feel better knowing this eventually will be resolved.

[blessed]

Look at it this way, if you don't need the money for living expenses right now they're making you a savings account in a sense. You'll get the money out of escrow eventually, I'd think. Are the extra fees excessive? That would be my only complaint.