Legal Question in Bankruptcy in Kentucky

Bankruptcy Default

I filed Chapter 7 bankruptcy 18 months ago. There were $23000 in monies however that they would not allow in the bankruptcy. I have only been able to raise $5000 of this. I just received a letter saying that I am in default of the bankruptcy, and I am responsible for the $23000. What does that mean? Should I contact the trustee attorney and try to set up a payment plan for the balance? I can afford $1000 per month. I tried to get a loan everywhere in the world, but no one will give you a loan while in the process of a bankruptcy. Another dumb question, can I get a bond to pay for this, so that the legal weight is off of me, and repay the bond? I'm sorry my attorney will not return my calls.

Asked on 6/26/06, 11:58 am

2 Answers from Attorneys

E. Brian Davis Davis Law Office

Re: Bankruptcy Default

It appears that you may have had some non-exempt assets that the bankruptcy trustee is attempting to recover on behalf of your creditors. Ideally, you should seek advice from your bankruptcy attorney. If that is impossible, you could contact the trustee (or the trustee's attorney), explain the problem, and propose a solution (i.e. the monthly payments.) I would do that in writing so there can be no misunderstanding.

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Answered on 6/26/06, 12:04 pm

Steven Schiller Steven L. Schiller, Attorney at Law

Re: Bankruptcy Default

I'm a little unclear what th3 $23,000 represents: If the $23,000 was money you owed for taxes, student loans, or other debts that were not dischargeable in a chapter 7, you might be eligible to file a chapter 13 and make payments of the debt over a period as long as 5 years. If you have any questions, please feel free to contact me.

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Answered on 6/26/06, 12:10 pm

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