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Hi - my name is Kirk and I'm a Bankruptcy litigation attorney. Thanks for using JA! I'll be glad to assist.
Was this debt not discharged through your bankruptcy?
Hi Chris -
For whatever reason, I didn't get your posts yesterday. Sorry for the delay.
Thanks for the additional information. If the AMEX debt was not discharged, then it does have the right to pursue collection of the debt, and if you can't work out a deal, then you could face a wage garnishment, bank levy, etc.
One option, however, is to re-open your bankruptcy and include this debt and have it discharged. That's likely the best avenue to pursue if you can't pay what they're demanding and you don't want to face a wage garnishment/bank levy.
As for the payout from the dealership, if the money is based on a claim you had/have against the dealership, then the payment would be an asset of your bankruptcy estate and the trustee would get the money to pay over to creditors. Who gets what depends on the number of creditors, etc., but most unsecured creditors will likely receive a portion of these funds.
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