One More Discharge/Closing question

[discouraged]

Filed 3/4/11 and 341 was April 1st - and THAT was not a joke! Discharged June 17 but not closed yet. I did not look at or print out PACER report until after the discharge papers from my attorney.

My question: Trustee's report of No Distribution was on PACER 4/5, stated the usual: I have never received nor paid money on account of this estate; that I have made a diligent inquiry into the financial affairs of the debtor(s) and the location of the property belonging to the estate; and that there is no property available for distribution from the estate over and above that exempted by law. Pursuant to Fed R Bank P 5009, I hereby certify that the estate of the debtor(s) has been fully administered. I request that I be discharged form any further dutiers as trustee..

Assets Abandoned (without deducting any secured claims): $65100.00. Assets Exempt: $10603.69. Claims Asserted: Not applicable, Claims scheduled to be discharged without payment (without deducting the value of collateral or debts excepted from discharge): $137465.10.

Okay - I have an email into my lawyer but I really don't understand this last paragraph. I surrendered my underwater house - I owe $72,353 on the 1st mortgage and the house (in March) was valued at 65,100. The 2nd Mortgage I owe 25,487.

So will the whole thing be discharged? This is what I do not get. Also, does it sound to everyone that the clsoing will just be an administrative thing and I can stop worrying or should I continue to worry about this closing?

Thanks for any help in helping me understand.

[debee]

So will the whole thing be discharged? This is what I do not get. Also, does it sound to everyone that the clsoing will just be an administrative thing and I can stop worrying or should I continue to worry about this closing?

Thanks for any help in helping me understand.

The debt gets discharged even though you plan to surrender the collateral for it. That's necessary to prevent you from being hounded down the road for deficiency. It's also what enables people to "stay and pay" and then walk away. They can't be chased.

Your trustee has filed the NDR and the 60 days for creditor/UST objections to your discharge has passed. You're paperwork is on someone's desk waiting for the rubber stamp/entry into PACER. No need to worry! Time to be your optimistic twin, encouraged.

[discouraged]

Thanks debee, I'm trying, I'm trying, but won't really feel secure until I see that closed statement on PACER or receive papers in the mail. At that time I may just change my name to enouraged and become my twin.

[debee]

Hang in there, discouraged.

So long as there was no fraud, both your creditors & the UST are time-barred from objections to your discharge. It's all done. There's no way for it to be taken back now because you've passed the deadlines.

Sounds like you're in an understaffed district and things are juuuuuuust reeeeeeeeaaaaallllllly sloooooooooooooooow.

ETA: The relevant timelines:

1. Upon filing of the NDR in a no asset case, and the expiration of the time limits for filing objections to the case trustee's report pursuant to FRBP 5009 (30 days from NDR) and for filing objections to the debtor's discharge pursuant to FRBP 4004(a) (60 days from 341), the clerk shall authorize payment to the trustee of the fee established by 11 U.S.C. section 330(b).

2. After the above events occur the court, pursuant to 11 U.S.C. section 350 and FRBP 5009, shall enter an order to discharge the trustee and close the case after the expiration of the 30 day period set forth in FRBP 5009."

[ValleYum]

Thanks debee, I'm trying, I'm trying, but won't really feel secure until I see that closed statement on PACER or receive papers in the mail. At that time I may just change my name to enouraged and become my twin.

Here's to hoping we see your twin VERY soon!!!

[tobee43]

Trustee's report of No Distribution is the order of the close of the case....


the discharge is the the another order.. funny usually, and i shouldn't even ssay usually, since NOTHING is usual anymore.... the order of discharge comes and then order of close.

you're in good shape, as debee said, it's a paper thing at this point.

[sunshinepa]

As all the posters have said, you are basically finished. It's just a matter of court paperwork now! Congrats, I have 28 days left for objections and once that's passed, I could care less when it closes, LOL.

[discouraged]

Thanks for all the responses. It does help. The problem here in Minnesota is that the dems & republicans are fighting over the budget and if they don't come to an agreement by July 1, half the government is going to shut down (really wise move to increase unemployment) so don't know when things will get done or which offices will be closed. Strange time to live here. They are supposed to have an emergency meeting but who knows? Neither side wants to back down. I have a feeling that inputting paperwork will not have a high priority if the shut down happens.

[onthefence]

Our case closed 14 days after discharge in the same district. So that would put you closed on July 1st? Hopefully before the looming shutdown.

[discouraged]

I sure hope so. That would be so great. I'll start checking PACER at that time and see what happens.

[tobee43]

Thanks for all the responses. It does help. The problem here in Minnesota is that the dems & republicans are fighting over the budget and if they don't come to an agreement by July 1, half the government is going to shut down (really wise move to increase unemployment) so don't know when things will get done or which offices will be closed. Strange time to live here. They are supposed to have an emergency meeting but who knows? Neither side wants to back down. I have a feeling that inputting paperwork will not have a high priority if the shut down happens.

are you really going to make me come there?????? LOL!!!!

now, you know i didn't want to go up north again... but if i really have too, i will go this far........you are going to be done, it's just most likely the courts are just running behind. the US BK judge may be on vaca, or just running behind in there office. you an see on your order of no distribution the judge's name. in MOST cases the same judge will sign your discharge order as well.