Reposession of auto question...

[ichb]

First of all my apologies if that was addressed in a previous post. I made a best effort to find it but my combination of key words proved insufficient.

We have hired an attorney. We have his permission to forward collection calls to his office. All this before a cent was paid.

We intend to include the auto loans in the Chapter 13 payment plan since we will be able to renegotiate the size of the payments during the plan. (I may be wording this wrong)

We are going to file mid May. My question is this: if one of the auto loan companies calls us and we inform them of the impending bankruptcy can they repo our vehicles quickly before we file? We just want to know if we should just tell them or stall them until we file. We are only a few weeks past due on these payments.

[CindyLou]

Anytime you are late on your car payment you are in danger of being repo'd. But in your case I would probabaly just stall them....I would not let them in on the upcoming BK.

Usually they aren't going to start getting agressive until you are over 30 days late, however some finance co. are quick and some are very slow....depends on the co. and the state.

My opinion: Stall

Other's may have a different opinion.

[epiphany]

Anytime you are late on your car payment you are in danger of being repo'd. But in your case I would probabaly just stall them....I would not let them in on the upcoming BK.

Usually they aren't going to start getting agressive until you are over 30 days late, however some finance co. are quick and some are very slow....depends on the co. and the state.

My opinion: Stall

Other's may have a different opinion.

I agree. I think when you are close to filing it pays to tell your unsecured creditors of the impending BK, but on a secured loan, I would definitely stall if it's important that the property not be repo'd anytime soon.

ep

[Flamingo]

We intend to include the auto loans in the Chapter 13 payment plan since we will be able to renegotiate the size of the payments during the plan. (I may be wording this wrong)

What your attorney is doing is having the vehicles "crammed" into your Plan

We are going to file mid May. My question is this: if one of the auto loan companies calls us and we inform them of the impending bankruptcy can they repo our vehicles quickly before we file? We just want to know if we should just tell them or stall them until we file. We are only a few weeks past due on these payments

We retained our attorney two months before our filing date. We were advised at that time to stop paying our car payments and credit card payments. We missed two car payments, therefore, before filing. While we were armed withi the attorney information to give callers, we did live in fear of repossession after the first payment. I personally called both banks, told them we were going to file Chapter 13 shortly and provided the attorney information to them and asked them please not to come take the vehicles as they were being included in the Plan. Just in case, we positiooned the vehicles in our driveway each night that it would be impossible for anyone to remove them unless they did severe damage to trees, other vehicles and shubbery. We had no problem; just a few letters from each bank about the deliquencies. Just note that as soon as that first payment is missed, they can come get your car. Since repossessions are really up all over the country, it could take longer but don't ever assume anything since the repossession companies are just hiring more people due to more work. Note that the bank will attempt to work with you - they really don't want to repossess the vehicle jsut as they don't want to foreclose on a house - it costs them much more money to do that and then have to auction the vehicle.