HELP! Question about Secured Debts

[TurnThePage]

Ok I have a question about the Statement of Intention which was previously filed with the court & served on these secured creditors & the trustee, as per Chapter 7 Rules. I listed "Surrender" for these items.

The Nolo Book specifically says: "You must make the property available to the creditor within 30 days after the 341 Meeting of Creditors. It is up to the creditor to contact you to make arrangements to pick up the property ..... otherwise it's yours to keep."

I just received a letter after the deadline asking if I want to settle the lien for 50% of the balance or what my intentions are for returning the property .... What should I do? Should I even consider their settlement offer after they missed the deadline, or just ignore it?

[justbroke]

I just received a letter after the deadline asking if I want to settle the lien for 50% of the balance or what my intentions are for returning the property .... What should I do? Should I even consider their settlement offer after they missed the deadline, or just ignore it?

I'm assuming you filed pro se because of the NoLo book reference.

Yes, you can settle the lien, but I would file a Motion to Redeem with the Court if you're going to do it. This will make sure that the rest of the balance is actually discharged.

But let's back up first. What is this property that they want to settle? If it's a computer or furniture... tell them that they can come and get it.

[TurnThePage]

It's music equipment with a purchase money security interest on a store card -- it would probably cost more just to repossess & sell it used, the value is not more than $100 to $200. I ticked the box "Surrender" on my Statement of Intention.

[justbroke]

It's music equipment with a purchase money security interest on a store card -- it would probably cost more just to repossess & sell it used, the value is not more than $100 to $200. I ticked the box "Surrender" on my Statement of Intention.

Exactly. Tell them to come and get it. They will 99.9% of the time, not come to get those types of items (including furniture, TVs, computers, and other electronics that depreciate quickly)

[JustFileSuit]

Depends. If it is purchased from Sears, then expect them to show up and take it away. You might want to offer them a nominal sum such as $30 and sign a contract for that so that there is no later dispute. Gives you some peace of mind and then you are not gambling on the creditor's future intentions.

[GotNoMoney]

Think I would send them a notice certified that they have till X date at X time and after that the items are considerably past the date originally stated by the court and will be disposed of accordingly. Short of this wording they have no motivation to come get it and really they don't want to come get it. So set a date and time and if they don't make arrangements before then it is done and over and you have a certified letter stating this.

[JustFileSuit]

Check the Local Rules of Court

Be sure to check the "Local Rules of Court" to be certain that the local rules do not have some other provision. The Local Rules will always come first.