Repossession - Anyone?

[kydiv]

I did not reaffirm my car loan in my bankruptcy but have continued to pay on the loan in order to keep it. I owe more than what the car is worth. I have been on a budget for months now and am looking for more ways to save money. I am considering letting the car get repossessed. One reason - since the loan wasn't reaffirmed, they can't come after me for the negative equity that I owe (it was technically discharged in the bk).

Has anyone been through a repossession? What happened? How did it hurt your credit (as if bk wasn't enough)?

[9877donna]

I did not reaffirm my car loan in my bankruptcy but have continued to pay on the loan in order to keep it. I owe more than what the car is worth. I have been on a budget for months now and am looking for more ways to save money. I am considering letting the car get repossessed. One reason - since the loan wasn't reaffirmed, they can't come after me for the negative equity that I owe (it was technically discharged in the bk).

Has anyone been through a repossession? What happened? How did it hurt your credit (as if bk wasn't enough)?

If you did not 'reaffirm' your car and it was discharged in the Bankruptcy then just turn the car into the lender and hand them the keys.You have no more legal obligation to pay because you never reaffirmed and it should not show up as a 'reposession' on your credit reports.just a BK.
This is just my opinion and my BK knowledge is very limited.
Donna

[tradewiz50]

If you did not 'reaffirm' your car and it was discharged in the Bankruptcy then just turn the car into the lender and hand them the keys.You have no more legal obligation to pay because you never reaffirmed and it should not show up as a 'reposession' on your credit reports.just a BK.
This is just my opinion and my BK knowledge is very limited.
Donna

Your correct.

Personal note here. I let go 2 vehicles in my BK. They'll eventually show up as IIB and zero balance. But, I was "lucky" to have it removed from 2 of the 3 CBR's already.

[CindyLou]

Just did what you are talking about. VERY EASY process. They CANNOT report to bureau as repossesion. Chances are they have already reported as IIb with zero balance. You will get a certified letter in the mail stating your balance owed and the other stuff, but just know that you will not owe. They send you the letter, but it does not apply. Good luck.

[kydiv]

More info

I appreciate all the information and welcome more.

What's funny is that the lender is still reporting my payments to credit agencies. That was my concern, that instead of showing as a BK it would show as a repo.