another car question.....

[TBLTZ]

I will be buying a new used car. Im not reaffirming the old car. If i stop paying on the old car and they repo the car before I file bk does it make a difference? Should I hide the car until I file bk?

Im thinking I will buy a car in the next week or two. I will make the last payment on the old car for july. I will not pay aug or sept. thinking I will file by oct. Will they try to repo by then?

Thanks

[kenshirley]

Once you get the other car it does not matter to the BK whether it was repoed or not. It will just show as the account was included in the BK.
Don't make any more payments than you have to if you are letting it go.

[LuciluS]

If I were in your shoes, I wouldn't make the July payment. It's money down the drain.

Usually there is a 10 day grace period on your auto loan. The loan company, usually doesn't attempt to collect a payment until after the grace period. If you've had no communication with the loan company, most likely, your 1st phone call will be on the 11th day.

If at that time, the loan company calls, I would ignore the phone call. The person who calls you will most likely not know the information you need to surrender it. The day you have replaced the vehicle & ready to return it to the loan company is the day communications start.

You can take the vehicle to the place you bought it, if feasible. If it's a bank and the bank has a location near you, drop it off with the keys. Make sure you have some sort of written letter that includes: Date of surrender, where surrender was made, signature from an employee & odometer reading. Then call your insurance company & request cancellation of that particular vehicle.

None of the above is feasible, I would call your loan company and ask them the location to surrender vehicle. They will balk, most likely, and your call may be transferred to several departments until surrending auto information is given.

Luci

[kenshirley]

Just a note here. Do not take the car where you bought it and leave it unless that dealer financed it themselves or it went through their parent credit lines such as a GM dealer and GMAC.
If you leave a car at a dealership that has let's say B of A financing and the dealer wants to get nasty about it he can legally charge you the maximum storage fee per day allowed under the law.
You may not care but he can bill you for that directly.

[tinfoilhat]

Yea, don't take the car anywhere and drop it off. Let them repo it, if it's included in the bk do you think you're saving anything at all by dropping it off somewhere? That make no sense.

Stop paying, take your personal stuff out of it, in a month or so make sure if you go somewhere you have cab money to get home.

USUALLY the repo company will call you and offer to come pick it up, as in get the keys and drive it off, empty of your possessions, your tag off of it, saving you the possible embarrassment of waking your neighbors at 2 am while they drag it sideways out of your yard so they can hook the front or back and tow it.

PS leave your tag or any property in it and it's usually a flat fee of around $50 to have them hand it to you later.

http://www.youtube.com/user/gotbad

http://www.youtube.com/watch?v=qnu3QaiSiNs

[lrprn]

I will be buying a new used car. Im not reaffirming the old car. If i stop paying on the old car and they repo the car before I file bk does it make a difference? Should I hide the car until I file bk?

If the car is repossessed before filing, then the one negative will be to your eventual credit repair. You'll have the repossession plus the bk filing - a double hit. By having the car repossessed after filing, then there's just one hit on your credit report. Frankly, this should not be a deciding factor for timing your filing.

Im thinking I will buy a car in the next week or two. I will make the last payment on the old car for july. I will not pay aug or sept. thinking I will file by oct. Will they try to repo by then?

Most car lenders will start serious repo efforts after two missed car payments, although technically they can start after one missed payment if they want. Keeping the car hidden or completely inaccessible should prevent the repossession until after you file. Be sure to remove all personal items, plates, etc.

I strongly suggest discussing all of this with your lawyer first before doing anything. He/she is most familiar with your case and knows the customs of your local court, trustees, and very likely also the practices of your local car repo companies too

[TBLTZ]

Thanks everyone for the replies. We went and look at a few cars today. Interest rate is a little high but I would expect this as this will be our third car that we will techically have payments for. Now I know why america is in this mess. They will still give you anything if you have decent credit and let you get yourself in trouble.

Anyway.

When I talke to my Attorney he said we would included the car in the BK. If we just drop it off or call them to come get it. It would be a voulntary repossesion. He said this would look worse on the credit report. He said he will just let it go in the bk.

any thoughs?

[tinfoilhat]

When I talke to my Attorney he said we would included the car in the BK. If we just drop it off or call them to come get it. It would be a voulntary repossesion. He said this would look worse on the credit report. He said he will just let it go in the bk.

any thoughs?

Clean it out an put it in an easily accessible area around your residence so they can take it.
I know my posts get translated to chinese sometimes like the last one.

Bottom line is: your attorney said don't do a voluntary repo, SO DON'T.
People on this board don't represent you, your attorney isn't going to like it if you tell him a bunch of people on an internet forum said this and that. Do as he says.

[Looking4ward]

TBLTZ, I would recommend not getting another car until after you've retained your laywer and filed.

I had a car that I initally wanted to reaffirm, but after consulting a few folks on the board, and speaking to other, I decided to let it go into the BK.

Once my BK was filed, I started getting offers for programs that were specficially for people with open BK's. I called around and found one that worked great for me and I drove away with a new used car this weekend!

I've included my old car in the BK, so they just have to come pick it up.

It worked out well. I hope your situation does as well!

[pcn]

The car you want to give up could be an expense you can use in your calculations to qualify. If you need that expense, you wont be able to use it if it is obvious that is not going to be a continuing expense. The atty may tell you to keep it up to date until you get the bk filed and in process. I wouldn't do anything until you have the advice of an atty, or 3.

[tinfoilhat]

When I talke to my Attorney he said we would included the car in the BK.

Does this show up on anyone elses screen lol.
Pardon me for assuming, but when someone says "my attorney" I automatically think they hired one and are over the reviewing/consulting part and should no longer just ask other attorneys at random.

[pcn]

TBLTZ, I would recommend not getting another car until after you've retained your laywer and filed.

I had a car that I initally wanted to reaffirm, but after consulting a few folks on the board, and speaking to other, I decided to let it go into the BK.

Once my BK was filed, I started getting offers for programs that were specficially for people with open BK's. I called around and found one that worked great for me and I drove away with a new used car this weekend!

I've included my old car in the BK, so they just have to come pick it up.

It worked out well. I hope your situation does as well!

What kind of credit rating did you have pre and post bk? I wonder if the rates would have been better before filing. This is one of the most common recommendations I see for bk planning - "If you will need a car soon, get it before you file and you have bk on your credit".

[TBLTZ]

Does this show up on anyone elses screen lol.
Pardon me for assuming, but when someone says "my attorney" I automatically think they hired one and are over the reviewing/consulting part and should no longer just ask other attorneys at random.

I consulted with one is what i mean....I still like to hear from the general public.

[TBLTZ]

What kind of credit rating did you have pre and post bk? I wonder if the rates would have been better before filing. This is one of the most common recommendations I see for bk planning - "If you will need a car soon, get it before you file and you have bk on your credit".

Credit scores were high 600. we haven't filed bk yet. Probably will with in 90 days.

[TBLTZ]

just wanted to let everyone know i bought another car today. So I will be letting my other car go. Im not sure yet if im doing a chap 7 or 13 but if i do a 13 i know i need to wait 91 days because of the car. I will make one more payment to the car im letting go for july. Im going to pay aug, sept. I will save that money and file sometime in oct. I hope this all works out.

Btw the car is 130 a month cheaper than i was paying before. I hope that will look good to the trustee.