You received a letter today that looks like the one below.
It says in bold print NOTICE OF PROPOSED ABANDONMENT.
Wow, that sounds scary, what the hay does this mean?
The words in the letter certainly are confusing but what it means is:
- The trustee does not want to sell your property to pay creditors.
That’s it. This letter is good news and means your case is progressing toward completion.
You see, when you file a chapter 7 bankruptcy case, the bankruptcy trustee is granted rights to all of your property and determines its value after considering any debts secured by the property to decide whether or not to liquidate or sell that property to pay some or all of your creditors.
When the trustee abandons your property, it means he/she evaluated the value and the debts secured by that property and determined there is no value in the property if it were to be sold. Therefore, the trustee is abandoning his/her interest in that property and leaving you to do whatever you want with it.
Here is a redacted copy of a letter
