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Post by sunnyd on May 13, 2016 3:41:21 GMT
I received a notice of bankruptcy today showing my niece as the debtor. The notice is addressed to me & my little tiny itty bitty catering business that I only do just for fun. It's not really even a business, just do it for friends & family mostly. This is really crazy. First of all, why would my niece file Chapter 7 bankruptcy? I'm sure she has student loans & probably some credit card debt (maybe the whole lavish wedding) but she JUST married a dude that's seriously rich; he's a doctor, owns a house, responsible guy, etc. Second of all, if she did file bankruptcy, why would I receive a notice of her bankruptcy? I recently catered a wedding shindig for her but didn't charge her a penny for it so she definitely doesn't owe me any money whatsoever. Did she give them my name as a creditor? WTH? Why would she do that? I'm not sure if I should call her or my sister (her mom) to see if she needs help or play dumb & act like I know nothing? It has her name, address, SSN, case number & seems official. WWYD?
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Post by jemali on May 13, 2016 3:43:39 GMT
Did you ever cosign a loan for her? Like a car loan?
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gsquaredmom
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Jun 26, 2014 17:43:22 GMT
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Post by gsquaredmom on May 13, 2016 3:46:48 GMT
I would contact her. Not her mom.
And he may have money but that does not mean he will pay her debts. And she likely cannot discharge student loans. That's very rare. Maybe the wedding was all on credit?
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Post by sunnyd on May 13, 2016 3:46:49 GMT
No, I've never cosigned for her, thank goodness!!
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basketdiva
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Post by basketdiva on May 13, 2016 3:53:47 GMT
She might have put you down as a creditor to make it look like she has much more debt than assets.
I would call her and get answers to your questions. She is an adult-no need to involve her Mom.
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scrapaddie
Drama Llama
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Post by scrapaddie on May 13, 2016 3:55:11 GMT
Because he's a doctor doesn't mean he seriously does Rich. He may have his own debts
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Post by sunnyd on May 13, 2016 4:02:11 GMT
Wow! I'm shocked that they would have a mega extravagant wedding then immediately do this. What a way to start your marriage. You are right, obviously looks can be deceiving. They probably appear rich because they both have debt out the kazoo. Ugh! I'm sure his student loans are staggering. I would rather not know about this bankruptcy crap. It does not involve me so I sure wish she hadn't used my name. I'm super close with my sister but not as close with my niece. Is ignoring the letter an option & acting like nothing is going on? I live in another state so won't see my niece again anytime soon.
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GiantsFan
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Jun 27, 2014 14:44:56 GMT
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Post by GiantsFan on May 13, 2016 4:03:53 GMT
Since she's an adult I would ask her not her mom. IMO, parents don't need to be involved in financial matters of their adult children.
It seems weird though, since she doesn't owe you money.
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Post by holly on May 13, 2016 4:08:46 GMT
Filing bankruptcy won't get rid of student loans, if it did, more people would do it. There must be more to the story. Maybe he's been living beyond his means.
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Post by freecharlie on May 13, 2016 4:09:28 GMT
Wow! I'm shocked that they would have a mega extravagant wedding then immediately do this. What a way to start your marriage. You are right, obviously looks can be deceiving. They probably appear rich because they both have debt out the kazoo. Ugh! I'm sure his student loans are staggering. I would rather not know about this bankruptcy crap. It does not involve me so I sure wish she hadn't used my name. I'm super close with my sister but not as close with my niece. Is ignoring the letter an option & acting like nothing is going on? I live in another state so won't see my niece again anytime soon. I don't know how long ago their wedding was, but she could have filed before the wedding. Or it might be that she had lots of debt and then charged the wedding knowing she was going to bankrupt the debt. |
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Deleted
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May 3, 2024 13:44:15 GMT
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Post by Deleted on May 13, 2016 4:12:34 GMT
Could it be that she does owe people from her wedding, and notes from you were in her papers, even if an overdue invoice wasn't her lawyer may have included you just because you were a vendor for her wedding. For all he knows she may have an outstanding debt with you. This is your time to speak up if she owes you.
As for student loans, they can be discharged in a bankruptcy but it is difficult to do and requires proof of undue hardship that prevents you from having a minimal standard of living. It is difficult but not impossible.
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Post by pierkiss on May 13, 2016 4:13:21 GMT
Any chance this is some kind of scam?
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Post by mom on May 13, 2016 4:17:18 GMT
Im leaning towards this maybe a scam? Why would a legit debit collector/legal company include her SS on things? Maybe the last 4 numbers but including her entire SS number on paperwork is not ok, ever.
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Post by Eddie-n-Harley on May 13, 2016 4:18:41 GMT
Isn't there an attorney listed for her? Call her attorney.
Or a hearing date and location listed? Google the federal bankruptcy court/magistrate listed and call them to confirm the case filing.
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Post by sunnyd on May 13, 2016 4:23:39 GMT
Any chance this is some kind of scam? That thought crossed my mind as well. I googled the attorney listed & he is a legit bankruptcy attorney in her city. I know this is judgemental but I'm disappointed in her if this is true. She graduated from college in December & said she wasn't going to get a full time job until after the wedding. They had plenty of $, she was taking a break, busy setting up their household, planning the wedding, etc. I wonder if they planned this ahead of time. NOT A FAN of people like that!! But yes, it has her full SSN on the notice which seems really not ok. ETA: The filing date on the notice was about 5 weeks after the wedding, just about the same time the last of the wedding credit card bills would have been due.  |
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tduby1
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Post by tduby1 on May 13, 2016 10:50:27 GMT
She might have put you down as a creditor to make it look like she has much more debt than assets. I would call her and get answers to your questions. She is an adult-no need to involve her Mom. I suspect this is it. She is plumping up her debt to income ratio. |
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Post by gailoh on May 13, 2016 11:18:50 GMT
I would be worried that they sent out a statement with her SS on and would be angry if they did.
Adults talk to each other...just go and talk to her and let her know having her SS sent out like this is something she needs to look into.
If you got that info how many others have it now...
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Post by Scrapbrat on May 13, 2016 11:26:36 GMT
I used to practice bankruptcy law. You got a notice of her bankruptcy because, for whatever reason, she listed you (really, your catering business, it sounds like), as a creditor. She believes that she owes you money. Unfortunately, a Ch. 7 usually means that you won't GET any money (if she really does owe you any), but you may get other notices as well.
As to her SS number being on the notice, it's an official notice from the U.S. bankruptcy court, that goes to creditors that SHE named on a list. The notice doesn't go to everyone, it goes only to the creditors that SHE named on the list. Also, about the "plumping up her debts" thing -- lots of people have lots of debt that others don't really know about. And when an individual goes in to see a bankruptcy attorney and they are going to file, the attorney will have them include the names of every creditor they could possibly owe money to. You sign documents under penalty of perjury that these are your debts, etc. -- it's a serious thing and any decent attorney will have impressed upon her the seriousness of it. |
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~Lauren~
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Post by ~Lauren~ on May 13, 2016 11:55:23 GMT
I used to practice bankruptcy law. You got a notice of her bankruptcy because, for whatever reason, she listed you (really, your catering business, it sounds like), as a creditor. She believes that she owes you money. Unfortunately, a Ch. 7 usually means that you won't GET any money (if she really does owe you any), but you may get other notices as well.
As to her SS number being on the notice, it's an official notice from the U.S. bankruptcy court, that goes to creditors that SHE named on a list. The notice doesn't go to everyone, it goes only to the creditors that SHE named on the list. Also, about the "plumping up her debts" thing -- lots of people have lots of debt that others don't really know about. And when an individual goes in to see a bankruptcy attorney and they are going to file, the attorney will have them include the names of every creditor they could possibly owe money to. You sign documents under penalty of perjury that these are your debts, etc. -- it's a serious thing and any decent attorney will have impressed upon her the seriousness of it. I practice bankruptcy law right now and have for the last 20 years (sadly, many divorces end in bankruptcy). Everything Scrapbrat said still holds true. The only concern I have is that only the last 4 digits of her social should be shown. As attorneys we are required to redact full socials to everyone but the court itself. There is no "plumping up debt". The court and trustees really don't care how much debt you have. They are concerned with your income to living expense ratio, not your income to debt ratio. To the OP, I'd just leave this alone. There is no need to contact anyone. If she owed you nothing, you are not affected in anyway. If she did, the debt will be discharged. In either event, all you received was "Notice" that you were listed as a creditor in her bankruptcy so that if you wished to contest the discharge of the debt, you'd have the opportunity to attend the 341 meeting with the trustee. |
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Post by malibou on May 13, 2016 14:12:27 GMT
What Lauren and scrapbrat said. My dh has to deal with bk here in CA. Even to the court he only puts last 4 of social security number. That said, I do see full socials all the time on bk paperwork.
I doubt you will see anything else on this because it is just a notice. If you don't respond, that should be it.
In my dh line of work, we see people file all the time, and so many get dismissed. We often suspect people file hoping their creditors will walk away.
J
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~Lauren~
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Post by ~Lauren~ on May 13, 2016 14:21:49 GMT
It must be where you are located, malibou. In over 20 years of doing bankruptcies, I have never had a single case dismissed for lack of merit.
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Post by sincity2003 on May 13, 2016 16:32:56 GMT
It must be where you are located, malibou. In over 20 years of doing bankruptcies, I have never had a single case dismissed for lack of merit. I work in fraud for mortgages and see a lot of dismissed BKs. People do it the day before a foreclosure sale so that the sale has to be put on hold. They won't file any schedules, so then in how many ever days it gets dismissed. Then the bank has to start over on the foreclosure process in most states. They do it a couple times (so as not to anger the court) and buy time in the house. |
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Post by ladytrisha on May 13, 2016 21:31:23 GMT
I work in fraud for mortgages and see a lot of dismissed BKs. People do it the day before a foreclosure sale so that the sale has to be put on hold. They won't file any schedules, so then in how many ever days it gets dismissed. Then the bank has to start over on the foreclosure process in most states. They do it a couple times (so as not to anger the court) and buy time in the house. I used to work in landlord-tenant - fake bankruptcy filings were the way to get to stay in the rental longer. We had to file to go to court that a tenant filing bankruptcy didn't stay their eviction action. And then they'd file again! Finally, the court got wise after years and years, and the tenants stopped filing and came up with other motions. Not something I miss AT ALL! |
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Deleted
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May 3, 2024 13:44:15 GMT
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Post by Deleted on May 13, 2016 21:41:41 GMT
In regards to a dismissal of bankruptcy cases....yes, people can file a bankruptcy as a short filing (first two petition pages plus the mailing list of creditors) bankruptcy just to avoid foreclosure and then usually the case is dismissed due to non-compliance of required schedules, BUT if the debtor was to become a regular abuser of that process, the Bankruptcy Judge can also dismiss the case with prejudice that prohibits the debtor(s) of filing that chapter again for a specific period of time or forever depending on the severity of the abuse of the system.
It doesn't matter where you file in the U.S., because the courts track bankruptcy filings by SSN, so if a debtor think they are going to try and file in one state and then try and file again in another, the court's computer system will flag that case for further investigation by the clerk's office and Bankruptcy Judge.
The OP received the Notice of 341 Meeting (or 1st meeting notice) which is the initial notice the clerk's office send to all creditors that the debtor provided for the court in their mailing list.
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Post by malibou on May 14, 2016 0:16:32 GMT
It must be where you are located, malibou. In over 20 years of doing bankruptcies, I have never had a single case dismissed for lack of merit. I may have used the incorrect word when I said dismissed. People will file for a BK, we get a notice of claim, and next thing we know, we find out the BK never was completed. That is what made us think people were going thru the motions just far enough to hope get creditors to back off. I might be wrong. J |
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