Question about motorcycle

[lolly78]

My husband purchased two motorcycles about a year apart back in 2007/2008. He gave one to a friend and they agreed (verbally, and against my advice) that he would pay $200 a month for the bike. My husband kept the other one to ride himself. Usually they would hit the road together.

After about a year his friend lost his job and couldn't afford the bike any longer. My husband never went to pick it up. Because my husband put both bikes on the same motorcycle credit account they expected payment for both bikes, but my husband only sent in payment for the one he kept. Eventually they sent someone to reposess the bike my husband was riding as it was worth more money (why he let them in the garage I'll never know, I wasn't home!) It was sold at auction at about a $3000 deficiency.

The account was turned over to collections and is one of the creditors we are listing in our 13 for about $7000 (deficiency+other bike +late fees etc). My question is should we be listing this as a secured creditor since the other bike is still over the friends house. It doesn't have a battery, hasn't been rode, insured or registered in a couple of years and we never heard anything about the creditor wanting to reposess it. I don't want it to appear that I'm "hiding assets".

[BKParalegal]

Wow that was a messed up story. Who is on the title of the other bike? If it is the friend then it is an unsecured debt, if your husband then it is secured.

Good luck

[despritfreya]

The bike (not in your possession) is listed on Schedule B. The creditor is secured and therefore listed on Schedule D. The Statement of Intentions should state surrender. Once the case is filed you need to let the lender know where the bike is.

All of this presumes the lender has not taken possession of this 2nd bike before you file. If it does, the lender is unsecured and listed on Schedule F for the deficiency

Des.

[AngelinaCatHub]

Well I have a story: I used two old cars and gave the Titles to American General. I listed American General but I don't remember how I listed it as the cars no longer existed. One caught fire, was uninsured for fire, and one blew an engine. I gave the engine one to the mechanic in lieu of his charge, and the other to a neighbor to scrap out and it was crushed. So I had no cars nor was I ever asked about them. He might just want to go to DMV and have the machine looked up to see if it has a title at all. Sounds like the company does not realize the second machine and they may have forgotten it. Since he for practical purposes, abandoned it to his friend and there is no lien on the Title (IF) he does not have the second one. Sounds like a junker now anyway. 'Hub