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#455431 - 11/10/05 05:52 PM Bankruptcy
Anonymous
Unregistered

Can anyone tell me what we need to in the following scenario: Husband and wife jointly file Ch 13 and include a loan in the name of their business (incorporated). According to the trustee, they plan to pay the loan directly (not through the trustee). If we code the loan file as "bankrupt" the customer will no longer receive statements, etc... and branch manager is concerned that they will not pay the loan. I am not typically the "go to" person in this area, but everyone else is out of the office. I would think that if the loan was included in the bankruptcy, we should code accordingly and stop all communication w/the customers. Anyone have knowledge/training in this area that can help???

Thank you!!

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#455432 - 11/10/05 06:46 PM Re: Bankruptcy
waldensouth Offline
Power Poster
waldensouth
Joined: Nov 2001
Posts: 7,983
FINALLY ABOVE the gnat line
The customer can sign a reaffirmation agreement with the bank that effectively excludes this loan from bankruptcy and gives you permission to send notices and collect payment. If no one in your bank is familiar with that process, you may wish to consult your bank's counsel.
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#455433 - 11/10/05 08:55 PM Re: Bankruptcy
Anonymous
Unregistered

Thank you!!

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