Trustee wants $3k for excess personal property...

[colet4b]

Just got a letter from my trustee demanding over $3k for excess personal exemptions. We don't have any big screen TV's or anything new or fancy but everything seemed to add up. Will they confiscate all the furniture and everything if we refuse/can't pay? Can we offer to pay a portion of the amount and keep everything? As always your help and or advice is appreciated. Thanks!

[anonymuse]

Did you file pro se? If not, contact your lawyer.

Sounds like somewhere you are a little over here and there in your personal property exemptions and it has added up to $3K.

Is there something you can sell to come up with the money? A loan on your 401K (although not highly recommended)? Borrow from family member?

They're not going to come and take everything, but will want to take $3K worth to sell and distribute to creditors. However, it will cost them money to set up an auction or whatever to obtain $3K. So I ***think*** (others, I'm sure will clarify here) that you could make a lower offer to save them the time and money.

[FoolAndHisMoney]

All I can say is that if this ever happened to me I would surrender whatever it is and save the money (cash only please ) to buy whatever it is new unless it's a family heirloom. They can't confiscate your exempt property, but they can demand the non exempt or try to get some cash from you. 3000 sounds like a lot for used items unless it's a car. I wouldn't buy anything used from anybody for 3k except a car and that's only if the car is valued at 4k kbb.

[SinkingFast]

Remember that one Poster who,........

The one chick who was on the Forum for a while. From NY I think. The Trustee wanted $1K for old lawn and garden stuff. A hose with holes in it. A broken rake and such.

Didn't she negotiate a settlement with the Trustee on that one??

Many times the Trustee will agree to settle. Mostly depends, as FAHM says, if you're talking a car or household items.

[down @ out]

jerk trustee

What a bummer. We are not in bankruptcy because we have cash laying around.

Would be nice to tell him to kiss my confederate a** But that would probably be a negative.

Guess paying the mafia, uh trustee may make sense just to got behind this.

good luck

[anonymuse]

Heck, I say give them $3K worth of junk and tell them to sell it. ;)

[LostOne0069]

I'm probably going to have the same thing happen to me when we file here in the next week or two... we don't have anything really expensive, but we have a lot of misc stuff and the exemptions that we're allowed to use don't let us keep much... only about $4000 worth total.

Believe it or not, I am almost looking forward to this happening... because I already know that my answer is going to be, "Go ahead and take it, I don't have the cash and couldn't care less if you want my beat up couch or 6 year old, $200 TV."

I'm betting they say, "never mind". If they don't... I'm going to take video of them walking around my house trying to figure out what they can take and sell that would even cover their costs, let alone get a profit on.

[AMISLANDER]

wow...

that sucks....Don't feel bad, I have an outstanding IRS bill f/2004 for $7K...Ch.7 trustee thought he was going to get this years refund but hopefully it will go to the $7K due IRS...next year it will probably go to IRS...I might get a refund from the IRS in 2008? I have never had a refund to spend...is that weird or what?

I don't know...take them the oldest stuff you have...wrap it in a box with gift wrap & say, here's what you get for $3K in 2006

[anonymuse]

I might get a refund from the IRS in 2008? I have never had a refund to spend...is that weird or what?

Adjust your withholdings so that you don't get a refund. You don't make any interest from the government. Take the extra money and save it or put it in your 401K instead of letting the government sit on it for a year.

[psirasmom]

Wait wait - newbie is confused!!!!!!!!!!!!!!!!!!!!!!! Do they actually come to your house and evaluate the worth of your personal property? Not like we have anything in the house we are hiding lol (unless they really want my 9 year old tv and 6 year old couch and heck, they can have my chihuahua too!)

[keepmine]

Very rarely will the trustee send an appraiser to your home.

[anonymuse]

But if the trustee does, it will be at your expense.

[SinkingFast]

Wait wait - newbie is confused!!!!!!!!!!!!!!!!!!!!!!! Do they actually come to your house and evaluate the worth of your personal property? Not like we have anything in the house we are hiding lol (unless they really want my 9 year old tv and 6 year old couch and heck, they can have my chihuahua too!)

I asked our paralegal that question.

"Will the Trustee actually come to our house?"

NOPE.

The paralegal said in her 20+ years as a BK paralegal, she's never seen a Trustee go to anyone's home.

And, only rarely order an appraiser to do so. Usually upper income filers at that. People who might have nicer, new furniture, works of art, and such. Regular folk like us, with the 8 year old sofa, and the 2 ton, 27" TV,.......... Most likely NOT!