What Happens to RC Willey in Bankruptcy?

RC Willey is a very common creditor of bankruptcy filers. However, RC Willey is not your common unsecured creditor. Rather, RC Willey is a secured creditor, like the lien holder on your car or home. As a secured creditor, RC Willey has the right to repossess the collateral (the items you purchased) if you stop making payments, even if you have filed bankruptcy. RC Willey is often the only creditor to show up to the 341 meeting of creditors with the bankruptcy trustee. RC Willey likes to send a representative to the meeting to ask the debtor if he/she wants to reaffirm the debt and keep the items, or arrange for a time to surrender the items. These representatives are usually quite nice, and aren't there to badger you, but rather to present options to you. Often, if the items were purchased a long time ago, you have the option to pay a lesser amount then the contract amount.  Your attorney will help you decide which options is the best for you.

Adam Brown is a bankruptcy attorney for Dexter & Dexter, a debt relief agency helping people file for bankruptcy.