Legal Question in Bankruptcy in New York

Re: overpayment of bankruptcy

Relax. This can take some time. Two weeks is absolutely insufficient time for the Trustee to process your paperwork; believe me, yours is not the only file on the Trustee's desk. In your part of the world, the Trustee probably deals with hundreds of disbursements per month.

The answer to your question depends on the frequency at which the Trustee distributes to creditors and when your discharge notice arrived within that distribution cycle. The Trustee will probably, within the ordinary course of business, notice your excess payment(s) at the time of the next distribution and stop the garnishment and refund your overpayment then. Note that the Trustee has no access to any interest on overpayments, so any interest is not refundable to you.

You can call your lawyer tomorrow and ask for his or her help to find out where you stand in the distribution cycle and let you know when you can expect your refund (note that the Trustee's office CANNOT talk directly with you if you were represented in the case). If you went through the case without a lawyer, you can wait one month from today (that means wait until at least 9 January 2008), then call the Trustee's office and POLITELY and CALMLY point out the discharge and excess payments and ask where you are in their system and when you can expect a refund of your overpayments. Be calm and polite in this conversation, and LISTEN to them as they answer your questions (i.e., don't talk over them or interrupt them), and for heaven's sake don't scream at them; they are far more likely to process quickly for someone who understands that they are busy than they are for someone who is rude to them.

The Trustee is not in the business of permanently keeping any overpayments from debtors; you will get your refund.

THE INFORMATION PRESENTED HERE IS GENERAL IN NATURE AND IS NOT INTENDED, NOR SHOULD IT BE CONSTRUED, AS LEGAL ADVICE. THIS POSTING DOES NOT CREATE ANY ATTORNEY-CLIENT RELATIONSHIP BETWEEN US. FOR SPECIFIC ADVICE ABOUT YOUR PARTICULAR SITUATION, CONSULT YOUR ATTORNEY.