I would not file a bankruptcy for just $2,000 worth of debt. They can not take your social security, and it does not sound like you have any other assets that are able to be taken.
This does not mean that you will not have to file in the future, but it does not sound like you should file today.
Since you filed your own bankruptcy you most likely failed to list and protect an asset that the Trustee is now in the process of taking.
You need to meet with an attorney to see exactly what they are taking. If it is just your tax refund you should have been able to list and protect that, at least you can in Michigan.
Just because you received a settlement does not mean you can no longer file bankruptcy. The bigger question is how much of the settlement can you keep and still file bankruptcy. Since you live in FL, FL law will control. Your best bet is to get in to see a bankruptcy attorney ASAP, before you spend or move any of the settlement around.
First I am assuming that Capital One is suing you, not your Corporation. So if you file bankruptcy, the corporation is listed as an asset of your bankruptcy. You then have an amount of assets you get to keep. You keep these assets by applying the proper bankruptcy exemptions to those assets. If you are able to exempt the entire value of your corporation, you will get to keep the corporation. If you cannot exempt the entire value, your trustee may liquate the asset to pay off your debts.
The underlying debt (The note) has been discharged, but the creditor still has a lien on the collateral (The Mortgage.) Since you are in default, then they can foreclose, but they can never claim that you owe them any money. That would be a violation of the bankruptcy discharge, for which you could file suit against them!
Keep in mind that the property is still in your name until they do foreclose, you should keep insurance on the home and keep the lawn cut to not get lawn cutting fees for...
The best way to reestablish your credit is to start using credit again. My Chapter 7 clients tell me that they get multiple credit card offers within months of their bankruptcy ending. The credit card companies know you cannot file a Chapter 7 again for 8 years, you are a good risk to them now.
Do determine what chapter is best for you we need more facts. How much money do and your household make per year? What kind of debts do you have? What are the balances of those debts? What sort of assets do you have?
Once you gather all of that information, make an appointment with a bankruptcy attorney and they will be able to let you know what chapter is best for you.
I you are in a Chapter 13 Bankruptcy and your Chapter 13 plan is curing your arrears, you are current on your current payments and current on your Chapter 13 plan payments, the stay should never be lifted. Mortgage companies only file motions to lift the automatic stay when you are behind on your payments.
If you were to get a Motion to lift, you should immediately call your bankruptcy attorney.
Not seeing what you entered into this is just a guess, but my assumption is you entered into a consent judgment that contained the repayment terms. If this is the case, this is still a judgment, and can still be on your credit report.
If you have a judgment against you, that was covered in your “Property Settlement” of your judgment of Divorce, this “Property Settlement” obligation is only dischargeable in a Chapter 13 Bankruptcy. If you change to a Chapter 7 bankruptcy, the obligation as to the “Property Settlement is not discharged. You should probably find a way to stay in your chapter 13 if his is what your question was referring too.