Business Week has an interesting article today about post bankruptcy discharge issues as they relate to the debt buying industry.
Most bankruptcy filers are under the impression that if they have filed a bankruptcy, properly noticed the creditor of the filing, and received a formal discharge, the unsecured debt is gone forever. This is not always the case.
According to the article, the debt industry is flooded with companies who actually buy discharged debt. and report the amount on the debtor's credit report in hopes that this will eventually force confusion, frustration and thereby payment. Original creditors do it as well.
Gauging this phenomena just by the number of calls I receive from post bankruptcy filers who are confused about their credit report, I can attest that it happens, and that it likely happens...often.
You can read the article here.
If you have filed a chapter 7 or 13 bankruptcy, received a discharge and see that your credit report is still showing a balance as it relates to a particular discharged creditor, visit my post bankruptcy page
Follow the instructions making sure that you lay out the facts clearly when writing the credit reporting agency. If you do not have success removing the item after sending the request(s), contact me, I can help.