341 meeting over, question about truck payment...

[DEBTCHAINS]

Hi everyone,

Haven't updated in awhile. We had our 341 on 4/12, and all went well. Had to sit with the trustee to go over some stuff that didn't look right to her, but got it knocked out okay. It was no big deal at all, now we're just in the 60 day wait mode.

I have a truck that I took a loan against to pay off debt. (dumb move, was trying everything I could to not file BK, but looking back, should have just done so!)
Anyway, the truck is collateral for the loan obviously, but now, it's not worth what I owe. Probably 3 or 4k less I'd imagine.
I need the truck, and we are reaffirming it. HOWEVER, anyone have any experience with calling the lender, letting 'em know the situation, and seeing if the rate could be lowered? I just want to take full advantage of this situation while I can. I figure it can't hurt to ask.

[youngbroke]

Hi, I too had a vehicle that I took a loan out on with the car as collateral. Granted, it was a huge mistake, but in the end turned out okay. My loan balance was about $15,000 and my car was only worth about $2500.....I told them they could come and get the car,(taking a chance and calling there bluff); and the lender called me and agreed to take the value of the car as payoff for the loan and release my title. I in turn told them that I maybe could get them $1800, but that was all I could probably come up with...And they agreed.

[JackBondLove]

Wow, in 2002 I hocked my car to play the stock market, but fortunately I doubled my money then.

I'm wondering how youngbroke managed to get a balance 6X the value of the car!

[BCA2009]

If you want to be able to negotiate, don't re-affirm, once you do that, they have no incentive to work with you. Of course there is also the risk that will will repo it, if you don't re-affirm. You have to decide how much risk you are willing to take.

Good Luck!

[2manybills]

Maybe loan companies are treating loans using a vehicle as collateral differently than they are treating a regular vehicle contract, but most of vehicle loan companies will not let you "ride-through" until bankruptcy is discharged.

In our situation we were required to sign a reaffirmation agreement and get it approved by the court before the 60 days post 341 hearing was up.

I guess they can't pick up the car until you are discharged and the stay is lifted, but I'd watch that pretty close regarding your negotiations with them.

[youngbroke]

It was either full dischare of the amount and they could have the vehicle, that they would have had a time getting it in selling condition, and then probably wouldn't have gotten 1800 for it, or just work out something to get some cash. I'm not a gambler, but I did take a chance and I didn't make it seem like I "needed" the vehicle.....I had even told them I would bring it to them, and they told me they would be conacting me. It is a high mileage vehicle and no major mechanical yet, though I'm sure its coming..... The car would have been more of a hassle than the 1800 to release my title.