Alright, I got my first issue posted on the board and now I have the other one which complicates my bankruptcy filing even more...but weighs heavily on my conscience due to the nature of the debt. My posting this is not for all of you to judge me for how I incurred this debt but to get feedback and help others through my experience, so here it goes:
My father passed in Jun 06. I was the executor to his estate and was also a joint account holder to his checking account. I kept his pension deposits for about a year and then closed the account. About a year later, the pension fund eventually contacted my estate attorney demanding I pay them back. My estate attorney worked out a deal where I make an initial lump sum payment and repay the rest of the debt on a monthly basis. I signed and notarized an installment note and have been paying on this debt since last year. I owe 12k on the debt.
The note does not say anything about the nature of the debt. It says "FOR VALUE RECEIVED, the undersigned promises to pay to the order of X at X or at such other place as the payee or legal holder hereof may in writing appoint, the principal sum ...." It goes on to say that they can get a judgement for default.
My attorney advised to list the debt as unsecure non priority since, even though it is fraudulent, I have not been found guilty in a court of law. He was surprised that the pension fund agreed to settle it this way and warned that the pension fund may file a motion to lift the automic stay.
I called my father's estate attorney and asked him if he thinks the pension fund would challenge the bk and he said that he doesnt think they have grounds to do so considering they had me sign an installment note to settle it. Since I am filing ch 13, they will get paid something. He added that the balance due is not worth sueing since they live in the mid-west and I live on the east coast.
Although I am filing ch 13, I intend to continue paying the fund after I file even though the plan will pay them. If the trustee doesn't say anything about my 401k deduction I will reduce my contribution to free up disposable income to pay the fund
Your thoughts and/or experiences?
My father passed in Jun 06. I was the executor to his estate and was also a joint account holder to his checking account. I kept his pension deposits for about a year and then closed the account. About a year later, the pension fund eventually contacted my estate attorney demanding I pay them back. My estate attorney worked out a deal where I make an initial lump sum payment and repay the rest of the debt on a monthly basis. I signed and notarized an installment note and have been paying on this debt since last year. I owe 12k on the debt.
The note does not say anything about the nature of the debt. It says "FOR VALUE RECEIVED, the undersigned promises to pay to the order of X at X or at such other place as the payee or legal holder hereof may in writing appoint, the principal sum ...." It goes on to say that they can get a judgement for default.
My attorney advised to list the debt as unsecure non priority since, even though it is fraudulent, I have not been found guilty in a court of law. He was surprised that the pension fund agreed to settle it this way and warned that the pension fund may file a motion to lift the automic stay.
I called my father's estate attorney and asked him if he thinks the pension fund would challenge the bk and he said that he doesnt think they have grounds to do so considering they had me sign an installment note to settle it. Since I am filing ch 13, they will get paid something. He added that the balance due is not worth sueing since they live in the mid-west and I live on the east coast.
Although I am filing ch 13, I intend to continue paying the fund after I file even though the plan will pay them. If the trustee doesn't say anything about my 401k deduction I will reduce my contribution to free up disposable income to pay the fund
Your thoughts and/or experiences?
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