When you successfully exit bankruptcy protection, you receive a full discharge of your debts. This means that creditors can no longer come after you for those debts. Likewise, these debts should be fully cleared from your credit report because they are no longer outstanding. As far as the courts are concerned, they've been settled.
Unfortunately, that's not how it always works. In fact, over the years, millions of people who filed for bankruptcy continued to see “charge-off” or “120 days late” appear on their credit reports from the major credit score companies.
On Aug. 31, millions of affected Americans were sent a notice that they may soon receive their share of the settlement.
The three main credit bureaus offered a $45 million settlement. However, that works out to about $1 per person affected.
Lawyers involved have filed a motion that aims to increase the amount of money paid out to those affected. They are hoping to get a favorable ruling from the judge, or a new offer from the credit bureaus.
If after successfully filing bankruptcy, you were able to exit with your debts discharged, but still saw "charge-off" or "120 days late" statements on your credit report, you may want to get in touch with Robert Weed. Check out his site at: http://stopthebankruptcydischargesettlement.com/
If we hear of further updates to this major bankruptcy case we'll provide an update.
Tags: bankruptcy lawsuit
This entry was posted on Thursday, September 24th, 2009 at 2:26 pm and is filed under The Bankruptcy Courts. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.
I sent the forms more than one time. I need to know what happen, what’s going on. Is taking too much with this settlement and in the mean time the 3 Credit companies still doing the same from day one…hurting people. Ones this settlement finish the people affected will be hurt for long time. I dont get it! I need an update please.
I have filled out the card and have not heard anything. What is the time frame in which i will be contacted?
I do remember hearing about the settlement but Iam not sure if I have apply are not Can’t remember: but if possible please send me more information and another opportunity to apply. I have still been left with a large bill from my phone company even before Katrina with bell south with I think is unfair.
I too need information on who to contact regarding this matter. I did not file bankruptcy but mt ex husband did prior to our divorce being finalized. This was reported on my credit report. I was contacted several years ago about this matter but had not heard anything further. Thank you.
I also believe that I have misplaced my card and would like information on how to e-file or obtain a new one. In reply to Debt Consolodation – when one files for bankruptcy, it is irrelevant whether the debt is repaid or not. It should still be cleared from your credit history -this is the purpose of filing for bankruptcy and having the scar of bankruptcy on your credit report for 7 years.
I recieved the postcard, but did realize I had h/c verification of the information. I would like to apply for the adjusted amount. Credit, employment affected.
I also recieved the post card in mail but misplaced it is there a way to get that post card remailed or a website to apply.
I received a post card advising meof the class action suit .I misplaced the card please resend. Norman Stevenson
Recently I received a post card advising of this class action suit. I think there was an ed date to reply in November. Unfortunatley I misplaced this card can you please resend it to me at
P.O. Box 1531
Big Bear City, Ca 92314
Thank you.