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Mistake with Credit Union

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    Mistake with Credit Union

    I went out of town on business a few weeks ago, which is rare for me. Well, I did my expense report and submitted it. Well, I didn't know that I had never changed my direct deposit form for expense reports after I moved to my new bank.

    I left my credit union in December just before I filed, because I owed them 15K in credit card card debt and 22K for a truck that I was surrendering. I also ended up with a negative balance in my checking due to fees they charged after I withdrew all of my cash.

    I changed my direct deposit for payroll, but my company has a seperate form for expense reports (which I forgot).

    My expense report last week was for $560. I was discharged on Monday and was curious if I could still log into my credit union, so I tried yesterday and lo & behold, I had a new account call "collections" with a balance of $560. at first it didn't register what it was, but when I clicked on the details, it showed direct deposit and my company name. My heart sank! I just knew I was going to have problems getting this money back, if it was even possible at all.

    I took off work early and went to the credit union. I thought that technically if they tried to apply the cash to one of my accounts, it would be a violation of the automatic stay on collection activity, and since I was discharged on Monday that I was no longer responsible for the debt. But I was still worried that the CU would give me sh*t about it.

    I talked with a customer service rep and she had to call the collections department and after a few minutes they gave me a note to take to a teller and they gave me all of the cash back.

    I was shocked that it went that easy.

    Anyway the moral of the story is make sure you have taken care of all of the possible ways that cash can be doposited into an account with one of your creditors. This could have turned into a big mess. And I really needed the money this week.
    Wife Laid off - 11/16/2009 Missed First Payments - 12/5/2009
    Filed Chap 7 - 12/31/2009
    341 - 2/12/2010
    Discharged - 4/19/2010

    #2
    Glad it worked out!!

    I don't think it would have been a violation - as there was no longer an automatic stay to violate. And even though the debts were discharged, there is nothing to say you cannot voluntarily pay anyhow.
    Get mortgage modified: DONE! 7 months of back interest payments amortized, payment reduced over $200/mo
    (In the 'planning' stage, to file ch. 13 if/when we have to.)

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      #3
      Originally posted by SMinGA View Post
      Glad it worked out!!

      I don't think it would have been a violation - as there was no longer an automatic stay to violate. And even though the debts were discharged, there is nothing to say you cannot voluntarily pay anyhow.
      Yeah, I wasn't sure how it would go. When the deposit went in, I wasn't discharged yet (last friday). When I found out about it, I was discharged. The bank probably didn't know I was discharged. I did take a copy of the discharge, just in case I needed to show them, but it wasn't an issue.

      The only propblem I think the bank would have had would be that I didn't voluntary make a payment on anything. As a matter of fact I was going to specifically assert that I did not intend to pay any discharged debts. It was just a direct deposit into my checking account. My checking account was negative by $34 due to fees after I withdrew all of my money prior to BK. I was prepared to give that up if I had to. But if they tried to "set off" the other balances, I was going to fight it as much as I could.

      I really think they gave it back because they knew they couldn't legally keep it. I assume if they could have kept it, they wouldn't have given it back so easy. It would have put me in a real bind until next payday, if they had kept it.
      Wife Laid off - 11/16/2009 Missed First Payments - 12/5/2009
      Filed Chap 7 - 12/31/2009
      341 - 2/12/2010
      Discharged - 4/19/2010

      Comment


        #4
        Wow, you are lucky... ;)
        May 2008 Hired 1st Attorney/Stopped paying CCs
        May 21, 2009 Retained 2nd Attorney
        May 28th - Filed for Ch 7 (FINALLY!)
        9/11/09 - DISCHARGED!!!!

        Comment

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