My husband and I were forced to file bankruptcy 5 years ago.?
In 2001, we signed a deal with an auto consignment dealer that they would sell our 2000 Pontiac Grand Am for 250, which they did later that year. However, about a week after they sold it, they declared bankruptcy themselves, which left quite a few car owners pretty ticked. In all, I believe they had sold 60-70 automobiles, kept the money, and then filed bankruptcy. So basically no one got paid after they had sold their cars for them. My husband and I had a loan for the car through GMAC, which we continued to pay while it was at the consignment dealer. However, after the car was sold and we realized we were not going to receive any money, we realized that we would not be able to afford to pay GMAC 000 for a car we did not have (this was why we were selling in the first place). So our loan defaulted and we were forced to file bankruptcy in 2005. Our case was closed and all debts discharged on July 29 of 2005. Today, I just finally received word from the trustee of the consignment dealer’s bankruptcy case, stating that we should get 0 out of the settlement (about 6% of the 250 they owed us). Now my question is ths: what do I do when we get the check? Is it supposed to go to GMAC or have they written this off as closed since the bankruptcy was closed? I am going to try to call our bankruptcy lawyer in the morning, but if I remember correctly, he’s somewhat hard to get ahold of, so I thought I would check to see if anyone knew on here. Thank you so much for any help you have.
Your claim against the consignment dealer should have been listed as an asset in your bankruptcy case. However, even if it wasn’t, it’s highly unlikely that anyone will kick up a fuss over $600 – it simply isn’t enough money to fight over. The money is yours to do with as you please.
July 25th, 2010 at 4:36 pmTechnically, since the judgement was after the closure of your bankruptcy then the money is yours but it may be the case that the 600 is your and there is a larger amount going to GMAC directly from the dealer if GMAC has placed themselves as a bankruptcy creditor against the dealership. It’s best to check with your bankruptcy lawyer as the money may be your or not it depends on a couple of factors that you may not be aware of.
July 25th, 2010 at 4:36 pmYour best bet is to contact the attorney who handled your bankruptcy. If that isn’t possible, contact the trustee for your bankruptcy. Better to be safe than sorry.
July 25th, 2010 at 4:36 pmhttp://diylegalinfo.com/bankruptcy_Links.html has a lot of information on bankruptcy questions, how to handle them yourself and other information.
July 25th, 2010 at 4:36 pm