Legal Question in Bankruptcy in Minnesota

Secured property

I filed for chapter 7 and listed a boat as secured property. I owe more than this boat is worth, I made an offer to the bank (which I thought was fair)but the bank rejected it.

I received my final discharge 12-8-98.

After receiving my discharge,I received a letter from the bank ordering me to pay up my past due or face legal action. My questions are as follows.

can the bank make me pay?

can the bank reposses the boat?

the letter I received from the court states that my debts are discharged and it is illegal for creditors to harrasse me. can this bank keep threatening me? thank you for any help you give.


Asked on 12/23/98, 7:56 am

1 Answer from Attorneys
Daniel Press Chung & Press, P.C.

Re: Secured property

The bank is fully within its rights to insist on full payment or repossession of the boat. While it has no personal claim against you, it retains its lien and has the right to enforce it. You may want to seek to reopen your case and move to redeeem the boat by paying the judicially-determined value of the boat, but you have to pay in a lump sum. The lender may even agree to this if you have the cash and can agree on the value.

Daniel Press

Chung & Press, P.C.

6723 Whittier Ave., Suite 302


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Answered on 1/24/99, 9:50 pm


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