UST 'muddied water' in a 'retain & pay'

[timber]

This is a 'What would you do?' question.
Had our chap 7, 341 meeting last week. We own a travel trailer (Non-exempt) that we owe $3k on. We are current on payments and the bank is OK with our 'Retain & Pay' option. Only value I found was on NADA for $4,700.00 asking price on a dealers lot. UST says she may be interested in selling the asset. This is OK with us. I contacted the bank to inform them that the asset may be sold by the UST, and that I would withhold further payments until the issue was resolved. If there was an 'abandament' by the UST, I would send them any past due payments. They were not interested in that. The bank would file a motion, after 60 days, to repo the vehicle if payments were not kept current. The bank rep said that it would be unlikely for the UST to get more than what was owed on the note.
Would anyone continue to make payments under these conditions?

[BobMango]

I wouldn't. I think you are smart to avoid paying more for something you may not be able to keep. The timing should work in your favor since the trustee needs to make a decision fairly soon and the likelihood of getting more than the note is remote. Perhaps the trustee was fishing to see how much you wanted it and whether you would pay anything to keep it.

[justbroke]

I don't know why you'd keep paying for an asset that doesn't have value, but that's a different discussion. Let the Trustee play his/her games. Should be fun to watch the fireworks.

[timber]

Thanks for the replies. So my plan of action is to withold further payments until the trustee decides if she wants the asset. In the meantime the lender has promised to file a motion to reposses their collateral. I will be outside of this loop until something gives. If the trustee abandons the asset for failure to get more than what is owed and if the lender is OK with accepting the back payments, without any pentalties, and resumming payments from me, then I will do that, otherwise they can leave me out of it.
What do you think?

[justbroke]

The lender can do whatever they want, so long as they are not violating the automatic stay. I mean, they could just give it to you and forgive the debt, if they really wanted to.