[heatherlw]

Hi,
My husband and I had our bankruptcy discharged in California in Nov 2005. One of the items was a wedding ring from Crescent Jewlers, who is now going through their own bankruptcy. They were listed as a creditor and did not respond or appear at the meeting of creditors. We are now receiving letters from them asking us to repay the full balance or reaffirm the debt at the old payment rate or they will pursue the debt in court. Is this something they're able to do since they didn't respond before the discharge?

Thanks,
Heather

[Fr_Chuck]

As a secure debt was the item returned or turned over to the court to be disposed of.

A secured debt would have
1. been given to the court to be sold to help cover debt
2. returned to the lender
3 reaffirmed.

Which of the following happened

[heatherlw]

None of the above. Our lawyer just listed it on the creditors and said that they would either respond or not. We still possess the property.

[Fr_Chuck]

Thus part of the issue, I would discuss this with my bankruptcy attorney as to how he treated this. And have him write a letter to the company.

It appears that the debt was not properly handled by the court.

[heatherlw]

I'm guessing this is one of those times the error isn't in my favor. I read you can offer a settlement at fair market value. How do I go about doing that? Do I have to go to an appraiser, or just offer them something?

Thanks for your help,
Heather

[twinkiedooter]

Before you offer a settlement, please contact your bankruptcy attorney. He should be able to contact the jewelry store bankruptcy attorney and straighten this out. The jewelry store should have responded to your bankruptcy proceedings. It may be too late for them to do anything about their claim against you as you already informed them of your bankruptcy and they didn't respond properly. Please contact your attorney.

[heatherlw]

Ok I will definitely do that. Thanks for the reply!

Heather