HELP on discharged/written off car loan
I have a car that was discharged/written off thru this Chapter 7. The car is in my name and my dad is the co-signer. The bankruptcy shows this car as written off/discharged on his credit report as well.
I am going to call the lendor and volunteer to have them come get the car. Will I be responsible for the remaining balance even if it is written off/discharged. I was told no, but I thought I would ask the experts on this site.
Thanks
No, but your father will be held accountable since he is the cos
No, but your father will be held accountable since he is the cosignor. If he did not file bankruptcy, they will go after him, regardless of what the credit report says.
Hi Soaplady it is Missy from the above post. Thanks for your re
Hi Soaplady it is Missy from the above post. Thanks for your response. Will they sell the car do you know. Then come after the remaining balance?
The car will be auctioned off and the deficency plus any repo fe
The car will be auctioned off and the deficency plus any repo fees will be added on. You could probably save him some money by dropping off the car, so no towing fees.
I have just filed chapter7 pro se. I have heard of financing to
I have just filed chapter7 pro se. I have heard of financing to be able to "redeem" the car for market value as apposed to re-affirming at the same old rate and balance. Does anyone know if this is available?
Hi Chuck: I believe if you are up-to-date on the payments, you
Hi Chuck: I believe if you are up-to-date on the payments, you can ask the bank/lender if they can rewrite the loan and you can start over. My bank would not let do this as I am so far behind:(
Quote:Originally Posted by Chuck_TexasI have just filed chapter7
Quote:
Originally Posted by Chuck_Texas I have just filed chapter7 pro se. I have heard of financing to be able to "redeem" the car for market value as apposed to re-affirming at the same old rate and balance. Does anyone know if this is available? |
The following are my opinions, not legal advice. I successfully completed a pro se Ch 7 two years ago...
I'd be careful here. During your case, I don't think you can "refinance" anything or you may run into trouble with your trustee. Also, you should be sure that the trustee does not intend on selling the car (is it an exempt asset)? Have you had your meeting yet? My trustee was actually quite pleasant, patient and helpful, but that doesn't mean they all are.
Depending on how far behind you are with your loan and the laws of your state, you might be able to just continue to make your payments (you have to get current before the automatic stay is lifted though) without reaffirming. I've read that reaffirming is rarely in the debtor's best interest. All it might accomplish is giving the lender the ability to come after you for a deficiency if they have to repo the car down the road. In my state, the lender can't repo if you are current on the loan regardless of the BK filing. YMMV. Also, keep in mind that if for some reason you do decide to reaffirm, as a pro se filer you will have to appear before your judge for approval.
You might want to try contacting the lender or their attorney to see if they would consider a modified agreement (lower your principal...different interest rate....etc). If they agree, my guess would be that they will want you to reaffirm if they are giving any concessions, and in that case it may be in your interest to do so (if you are sure you can keep up your end).
In a Chapter 7 bankruptcy the debt is discharged as to the debto
In a Chapter 7 bankruptcy the debt is discharged as to the debtor. In other words, only your debt is discharged. As the car is in both yours and your father???s name and the money owed on the car is discharged as to you, your father, as co-signer may be responsible for the full debt depending on the state within which you reside.