The law office of Godbey & Associates recently settled litigation for a Chapter 7 client who had two creditors incorrectly reporting a debt on her credit after she received her discharge. In the case, the creditor was listed in the bankruptcy petition, received notice of the discharge, and continued to misreport the account balance over 2 ½ years after the discharge. By checking her credit report, the client was able to contact our office and reopen her case to litigate this matter.
When you receive your bankruptcy discharge, it is very important to review your credit report 6-12 months later to make sure all of the debts that were discharged are properly reporting on your credit.
Your creditors have a right to report the Bankruptcy, the Bankruptcy Discharge, and any delinquencies that happened before you filed bankruptcy. If your creditor continues to report a delinquency or is reporting an actively discharged balance, then they have violated your rights under your discharge. In addition, these actions also violate the Fair Credit Reporting Act and in some situations, the Fair Debt Collection Practices Act.
This case represents a situation that our office faces on a near daily basis and it is very important you get the full benefit of your discharge and protect your credit.
This blog is written and published by Godbey & Associates.