Help!! Bankruptcy Question...Please help?

Question

One of my parents had a heart attack a few years ago and his company also shut down...the family kinda had to go into bankruptcy. We had a car that wasn't paid for yet and I'm trying to help my parents...I think the car was included in the bankruptcy but i'm not sure. I received a letter stating:

This mortgage account statement is for inforation purposes only, as the debt may have been included in a bankruptcy action, or may have been discharged. This is not an attempt to collect, recover or offset the mortgage indevtedness against you personally, but our records reflect that we hold a security interest in your property. In pending chapter 13 cases, the plan status and terms may not be reflected on this account statement.

Attached it has a Voluntary Payment Coupon...

What does this mean? Was the car included in the bankruptcy or not? Do we have to continue paying it? We were planning on selling it cause it's sat for over a yr? Can we or do we have to pay of first? Thanks.

Answer 1

If you wrote this correctly, this sounds like a house mortgage payment, not a vehicle loan....sounds like the mortgage company is seeking payment. Your parents need to contact the bankruptcy attorney and ask them what is included in their payment plan, this sounds like they filed a chapter 13, which means they are making payments to the trustee of the bankruptcy court who is in turn paying their bills thru the court. They need to contact the attorney and find out if they mortgage is in the plan and if it's not, they need to continue making payments, if it is included in the plan payments, the mortgage is paid thru the plan and they don't have to send in any additional money, but....the attorney will have all this information for them. You need to do something quickly as you don't want the house going into foreclosure.  Good Luck!

Jasmine...In your parents legal paperwork there should be a list of all the bills that were included in the bankruptcy. It's called a Creditor Matrix...this list is what was submitted to the courts to included in the bankruptcy as debts they were not going to pay. If this letter you got pertained to that, it will show the company on the list. If not..they need to contact their attorney, they may be able to do something about it....their attorney is the one that can help you...not yahoo answers.

Answer 2

Hi,

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