How Funny Is This

[yoyoma51]

We are going bk 7 on a $16k credit card from a major lender.

We get a letter today from them stating they will give us a car loan for up to $25k to secure a vehicle WHILE we're in bankruptcy.

It is a 'special offer' for BK filers.

I guess this just goes to show that they want us back even though they are about to 'forgive' $16k.

I love it...

[magyar123]

Remember - that credit card dept of that major lender and the car loan dept. are like apples and oranges - don't have anything to do with each other. They might be in the same building/possibly even on the same floor.

[jp2861]

Well they do have something to do with each other, they fall under the same company. But, they probably know that you'll be receiving other offers and are just trying to beat the competition to the punch.

[yoyoma51]

At least they don't subscribe to the "Once bitten, twice shy" rule.

I can only hope more lenders are this way!

[mesa777]

These credit card companies always seem to amaze me... unreal...

[emoney]

16k is the smallest amount that I have ever seem to go with Ch 7.
regards,
emoney

[yoyoma51]

emoney-

Please note my signature info.

Our total unsecured debt is $162k ($162,000), $16k is to this lender alone.

[MajorMike]

you have 162 in unsecured?? How the hell did you get that??? wow!!!!!

[yoyoma51]

MajorMike-

Had a reasonable income (and stress!) from owning company, so credit was easy.

Closed company, dissolved corporation and sold assets to a business partner.

Stashed (legally, of course) money in retirement accounts (untouchable), wife has always had a good job, keeping the house and two nice & paid for cars.

I love Chapter 7. Definitely a good business decision.

Now I work for a friend who owns a gas station until something comes along that I want. Zero stress!

PLEASE NOTE: I am not a lawyer. Bankruptcy may or may not be a best scenario for you. It depends on your situation. You may assume my advice is totally useless. Talk to an experienced bankruptcy attorney (or three) in your jurisdiction for legal advice.

[Lindsay]

A friend of mine went bankrupt and discharged several Discover card accounts. Within a year, he had a brand new Discover Card with a low interest rate (8.9%) and a $10,000 limit. I guess they are very forgiving.

[FLBK7]

A friend of mine went bankrupt and discharged several Discover card accounts. Within a year, he had a brand new Discover Card with a low interest rate (8.9%) and a $10,000 limit. I guess they are very forgiving.

Discover made me face reality and file for BK 7 when they sued me for $1300+ I owed on their card. That was the wake-up call I needed to realize I could never, ever pay my creditors all that I owed them, even if I lived to be 100 years old. I filed for BK four days before the 20-day period to respond to the lawsuit ended. Never heard from them again, of course.

In a way I'm grateful to Discover for forcing the inevitable. BK was the only possible road for me, and I'm glad it's all over and I'm at peace now.

[FreshLikeADaisy]

Yoyoma, I am wondering whether that loan offer for bk filers doesn't include some sort of reaffirmation language in it. In other words, when you sign for the loan, you sign language that references your existing debt with that company. I'm not saying it does, but damn some of these places are shady...

Don't want to alarm you, it's just something that occurred to me.

[chpxiii]

Yoyoma, I am wondering whether that loan offer for bk filers doesn't include some sort of reaffirmation language in it. In other words, when you sign for the loan, you sign language that references your existing debt with that company. I'm not saying it does, but damn some of these places are shady...

Don't want to alarm you, it's just something that occurred to me.

Fresh, you're awesome! This is a good point and one I hadn't even thought of.

My first thought was that the creditor knows that since a person has BK'd recently, they "have" you because you can't file for a few more years. They also know that many BK filers are eager to start rebuilding credit. IOW, a captive market.

[FreshLikeADaisy]

My first thought was that the creditor knows that since a person has BK'd recently, they "have" you because you can't file for a few more years. They also know that many BK filers are eager to start rebuilding credit. IOW, a captive market.

True that. But I was reading through a forum for debt collectors (Keepmine posted the link somewhere around here) where this one slimebag junk debt collector/attorney was telling another collection agent not to worry so much about being able to provide documentation of the debt for when a debtor objects, but rather to try hard to massage the debtor into signing a promissory note for the debt as sort of a preventative measure. As he pointed out, signing a promissory note makes all that fussy debtor objection stuff go right away, because the second it's signed, it's a whole new loan. Now, this is my paraphrase, but the way it was written (including a statement that this works best with "trusting and pliant" debtors, IIRC) said to me that he would try to get that promissory note by whatever means necessary. When I saw what yoyoma wrote, that kind of jumped to mind as a new twist that a bk creditor could employ, since it is not debt collection but a willing (if misinformed) reaffirmation of the debt on the part of the debtor.... and thank you muchly for the compliment. It's been awhile since I got called awesome.