DISCHARGED TODAY!!! Help!!

[Nitromike]

OK informed letter on the way, but clerk said our Discharge for chapter 7 is official and closed today. Happy right? you betcha!!! lol



Problem is.. I have a car that was to be reaffirmed in the bk.. never got paperwork, they never sent anything, i never signed anything. They never objected, in fact they wrote it off as bad debt, charge off. I dont have title in hand as its in my name but they have a lein on it.

I was to catch up payment prior to this day. and it didnt happen, and they dont know where i live, nor , where the car is, never got relief from stay , etc.



Is there a loophole? What do i do? i want to sell it or trade it in on something else, soon.

[HHM]

How do they not know where you live, your home address is on the petition (or at least should be).

Unless you pay the balance in full to the company, you will never see the title.

[Nitromike]

we filed using a P.O. Box

Our discharge and everything included has that as the address.

You are right. We probably would never see the title. However, does anyone want a car that we arent paying for, that we dont owe for, that was discharged, and zero out? Cant get you the title, but umm... we can drive it until we hear otherwise lol ...



I dodnt think they cant even touch it via repo, being that there was an automatic stay and they have no formal request post judgement for the vehicle. So we are at a stand stlll.

[HHM]

I hate to burst your bubble, but the discharge lifts the automatic stay, and if you still owe on the care, they CAN repo. You might be able to defend the repo is state court arguing that they are estopped (sorry for the legal jargon) from collecting the debt post discharge because of the bankruptcy, but my guess is that is a losing propostion.

[Nitromike]

I dont want the car.


So i will let you know how it turns out.

:-)

They dropped the ball.


Now THEY have to pick up the pieces.

[HHM]

Yeah, but the problem you face is the deficiency balance, since the car wasn't surrendered in BK (did you list in your petition that you would surrender the car), they may hit you with a deficiency charge (i.e. difference between what you owe and what they can sell the car for) because they have a pretty good argument that the deficiency was not discharged.

[Nitromike]

Nah, not a problem. We included the entire amount of the payoff w/ interest in our bankruptcy. Just spoke to my attorney, seems they never sent us anything as to reaffirming, and they were just stayed then. So either , via written agreement, we keep the car and pay the past due , or we let them come pick it up.

Either way, we gain. We face no deficiency charge because the car was included for the full amount.

Like i mentioned before. They dropped the ball and have to pick up the pieces. I am calling them after lunch. Will update you as to this drama soon lol

[HHM]

Either way, we gain. We face no deficiency charge because the car was included for the full amount.

If that is what your attorney is saying, ok???, but frankly, I don't buy it. The car debt is a secured debt, you listed in your statement of intentions that you will reaffirm the debt, its a little murky whether, for secured debt, you really need a reaffirmation agreement in the first place.

Here is the loophole for the car company, the deficiency balance didn't exist before or during the pendancy of the discharge, hence its a post petition, and post discharge debt, meaning it was not taken care of in the BK.

I think your running a risk and could create problems for yourself in the future, but then again, nothing may happen, but I doubt it, because at some point, the title to the car isssue will need to be resolved and that is when this will all come back and bite you in the ass.

[Nitromike]

If i didnt know better. I would be afraid.... very afraid.

But several things that WERE SUPPOSE TO HAPPEN... DIDNT HAPPEN!

My attorney nevery received a letter nor sent one in reference to reaffirming. By law we had 60 days to complete the form and send it back in. Then they by law had 60 days from the creditors meeting to object, they never did. IF i moved, If i left the state, heck, even the country, that car could stay at the very home address (one that they never knew, P.O. ADDRESS).


All im saying is.. Not afraid of biting me.

We filed bk7 due to credit issues, not current, but from several years back, that were primarily my wife's issues. prior to us being married. We were borderline as to qualifying to get the 7 due to the fact that financially, we werent so bad. Sorta like filing for a 7, simply because you got bad debts of $2000 when u could clear then up. Like i said .. when i speak with finance comp.. that will let us know more.


and oh yea..

THANKS FOR YOUR SUPPORT!!! :-)

[Nitromike]

in fact... let me call them now.

[Nitromike]

Ok.. they are gonna schedule someone to come get the car. We have a 0 balance with them and it is reflected on the court discharge paper. They failed to send a letter for reaffirmation and therefore, like i knew... was caught holding the ball. We didnt want the car anyway so thats a good thing. Thanks again.