Bought from 722 Redemption (US Bank) Before 341 Hearing
I filed for Chap. 7 BK in IL in December 2010 and surrendered my car in the BK, as the monthly payment had become unmanageable after the loss of secondary income from a long-term relationship breakup. After almost 10 years living together, I really thought he was the one & we'd grow old together...oh well. His leaving turned my life upside down to say the least!
Anyway, before my 341 hearing, I tried, but my auto lender would not reduce the amount I owed them for a 722 Redemption, and they quickly filed a motion to remove automatic stay so they could repo. the car before the BK was even discharged. So I was faced with the dilemma of how to quickly procure a much-needed replacement vehicle before my current lender came after me for my car.
My lawyer advised that I contact 722 Redemption (US Bank) and see if they could help me. He also assured me that in IL, purchasing a car before my 341 hearing would not pose any problems in my discharge going through. So, I was able to get a 2009 PT Cruiser (Touring Edition) with 31k miles for $10,000 and even with the scary 24% interest rate, the new loan is saving me $250 a month! It's a simple interest 5 year loan which I plan to refinance as soon as I can which shouldn't be a problem since it's so new & has low mileage.
The car was delivered to my home from OH and all I had to do was take the driver to the Greyhound station which sounds strange but was actually no problem, as the driver was very nice & personable. He even gave me the inside scoop on how my car handled during his 5 hour drive to my house from OH! I turned in my bk vehicle the next week no problem. The Cruiser looks new and runs great so far!
So then about 3 weeks later, I went to my 341 hearing and when the Trustee saw the motion to remove stay for the car in my paperwork, she asked what I was going to do for another vehicle to get to work. I told her that I was referred to US Bank's 722 Redemption Program by my lawyer (who was sitting right there next to me) and my payment was even lower now. She raised her eyebrows at me and exclaimed "That's great! What a blessing!" then she looked at my lawyer and said "We need to get word of this program out to more people in BK!" She commended me on my smart move and went on to the next question. In the end she said she'd declare that I had no assets, and that was it! The whole hearing took all of 10 minutes!
Despite my Lawyer's reassurances beforehand, I was so worried I'd still be run through the coals for this pre-341 purchase, but was soooo pleasantly surprised I wanted to encourage others who are surrendering their vehicles and still need a replacement vehicle while in bk, to look into this program.
I'm still waiting on my discharge but per Pacer, everything is going according to plan; no negative flags so far! *fingers crossed*
Good luck to you all!
Anyway, before my 341 hearing, I tried, but my auto lender would not reduce the amount I owed them for a 722 Redemption, and they quickly filed a motion to remove automatic stay so they could repo. the car before the BK was even discharged. So I was faced with the dilemma of how to quickly procure a much-needed replacement vehicle before my current lender came after me for my car.
My lawyer advised that I contact 722 Redemption (US Bank) and see if they could help me. He also assured me that in IL, purchasing a car before my 341 hearing would not pose any problems in my discharge going through. So, I was able to get a 2009 PT Cruiser (Touring Edition) with 31k miles for $10,000 and even with the scary 24% interest rate, the new loan is saving me $250 a month! It's a simple interest 5 year loan which I plan to refinance as soon as I can which shouldn't be a problem since it's so new & has low mileage.
The car was delivered to my home from OH and all I had to do was take the driver to the Greyhound station which sounds strange but was actually no problem, as the driver was very nice & personable. He even gave me the inside scoop on how my car handled during his 5 hour drive to my house from OH! I turned in my bk vehicle the next week no problem. The Cruiser looks new and runs great so far!
So then about 3 weeks later, I went to my 341 hearing and when the Trustee saw the motion to remove stay for the car in my paperwork, she asked what I was going to do for another vehicle to get to work. I told her that I was referred to US Bank's 722 Redemption Program by my lawyer (who was sitting right there next to me) and my payment was even lower now. She raised her eyebrows at me and exclaimed "That's great! What a blessing!" then she looked at my lawyer and said "We need to get word of this program out to more people in BK!" She commended me on my smart move and went on to the next question. In the end she said she'd declare that I had no assets, and that was it! The whole hearing took all of 10 minutes!
Despite my Lawyer's reassurances beforehand, I was so worried I'd still be run through the coals for this pre-341 purchase, but was soooo pleasantly surprised I wanted to encourage others who are surrendering their vehicles and still need a replacement vehicle while in bk, to look into this program.
I'm still waiting on my discharge but per Pacer, everything is going according to plan; no negative flags so far! *fingers crossed*
Good luck to you all!
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