Capitol One dilemma - posted this in "Repossession" also

[StrawberrySu]

Will Capitol One Auto Loan try to repo my vehicle since I have stopped paying on my and hubby's Capitol One credit cards? I read about someone on here having an auto loan and credit card with same bank and they were going to have the car taken unless they paid the cards. Will this happen with Capitol One? If so what should I do? Sell the car?

[Pandora]

what you're inferring to is cross collateralization and generally goes with a Credit Union type of scenario. Read over your contracts you signed for the CCs and auto loan and see if it says anything.

Do NOT sell your car without researching further what the ramifications can/may be (if any) since you are planning on filing BK

[MSbklawyer]

They could only do that if the loans are cross collateralized. They may be, but I doubt it. Look at your loan agreements for language like "any collateral or security for this loan also secures any other loans you may have . . ."

As for what you should do -- you're filing bk, right? If you want to keep the car in bk, you'll have a number of options, depending on your exact circumstances.

[StrawberrySu]

Okay thanks guys I guess I won't worry about it too much. Not even sure what we should do with vehicle....it runs great, is a 2006 Toyota Sienna minivan (116000 miles), we owe $8000. KBB value is $9900. But if you look on autotrader, they all run about 12k, 16k and up for my area. So we are trying to decide is it a real value to keep, since the bk exemption value is only 1900, and to replace it you would need to spend 12K?

[BKIN2010]

i have an auto loan with cap1 and had a cc with them. I am paying the auto as usual and no indication of a repo since i filed. they just gave me a different # and address for payment.

[StrawberrySu]

i have an auto loan with cap1 and had a cc with them. I am paying the auto as usual and no indication of a repo since i filed. they just gave me a different # and address for payment.

Thanks, that is a relief! I was worried about it!

[AngelinaCat]

Please do not make duplicate posts in more than one forum. It confuses everyone trying to respond and follow the threads throughout the boards. For that reason, it is against the forum posting rules that are located at the top of each board.

I removed your duplicate post--although it actually contained a little more information than what is in the post that started this thread.

Thank you

[StrawberrySu]

Please do not make duplicate posts in more than one forum. It confuses everyone trying to respond and follow the threads throughout the boards. For that reason, it is against the forum posting rules that are located at the top of each board.

I removed your duplicate post--although it actually contained a little more information than what is in the post that started this thread.

Thank you

Sorry about that let me explain why I did it and maybe you can let me know the best way to post in the future? I posted in "repossessions", then realized there was no one viewing that section (?), I am so untech savvy I don't know what it's called. So I posted it where the traffic is, even though I knew it applied more to that section than to Chapter 7 section. Sometimes I post and never get a response. I don't know if I am supposed to bump my own thread to get it back up in the newer posts or what. I guess I don't know the proper etiquette. I am still trying to figure out how to make my thread title appear in bold, as most people do. Again, I am very sorry for this!

[tcreegan]

Hi StrawberrySu,

I'm with MSbklawyer, seriously doubt that Cap 1 Auto even talks to Cap 1 credit card

If you want to keep the car, just stay current on the payments (and keep the insurance too) Once you file they might cut off online access and/or stop mailing statements. They will have restrictions about contacting you, so you have to contact them. Ask for online access and/or "informational only" statements and where to send your payment. (and none of this may happen)

Good luck w/ your filing!

Tom in Colo

[ValleYum]

Okay thanks guys I guess I won't worry about it too much. Not even sure what we should do with vehicle....it runs great, is a 2006 Toyota Sienna minivan (116000 miles), we owe $8000. KBB value is $9900. But if you look on autotrader, they all run about 12k, 16k and up for my area. So we are trying to decide is it a real value to keep, since the bk exemption value is only 1900, and to replace it you would need to spend 12K?

I think you are misunderstanding exemptions. You have to exempt the value of items you wish to keep.

So on your van, the value that you need to exempt is only $1900. If you don't exempt it, the trustee could take the van and sell it and keep anything he gets over the payoff to Capital One.

Since you do have a car payment, you can claim the both the vehicle ownership expense (from the IRS Standards less your future payments on secured claims <the van> monthly amount -which is computed on Line 42 of the Means Test) and the vehicle operating expense (from the IRS Standards) on your Means Test.

You can also put the car expenses (car payment, gas, insurance, maintenance, registration, etc.) on your Schedule J which is the 'forward looking budget' form you fill out for a Chapter 7 bankruptcy.

[StrawberrySu]

I think you are misunderstanding exemptions. You have to exempt the value of items you wish to keep.

So on your van, the value that you need to exempt is only $1900. If you don't exempt it, the trustee could take the van and sell it and keep anything he gets over the payoff to Capital One.

Since you do have a car payment, you can claim the both the vehicle ownership expense (from the IRS Standards less your future payments on secured claims <the van> monthly amount -which is computed on Line 42 of the Means Test) and the vehicle operating expense (from the IRS Standards) on your Means Test.

You can also put the car expenses (car payment, gas, insurance, maintenance, registration, etc.) on your Schedule J which is the 'forward looking budget' form you fill out for a Chapter 7 bankruptcy.

ValleYum, it isn't that I am misunderstanding exemptions, it's that I can't express myself properly, lol. I meant that since I only had $1900 equity in vehicle, would I be better off ... well shoot, I still can't make sense, it was a dumb question to begin with. Okay StrawberrySu, think, then post. Actually, think, think again, think really hard, THEN post. Yes, I need all those expenses, I need to have a car with a loan, and this is the only one I have got. Thanks for pointing out the obvious, since I can't seem to see the forest these days, all these dang little trees are in my way.

[StrawberrySu]

Hi StrawberrySu,

I'm with MSbklawyer, seriously doubt that Cap 1 Auto even talks to Cap 1 credit card

If you want to keep the car, just stay current on the payments (and keep the insurance too) Once you file they might cut off online access and/or stop mailing statements. They will have restrictions about contacting you, so you have to contact them. Ask for online access and/or "informational only" statements and where to send your payment. (and none of this may happen)

Good luck w/ your filing!

Tom in Colo

Tom, I guess I am mainly scared of being in bed with Capitol One as I have read so many horror stories about them. Thought maybe I should get out while I can.

[ValleYum]

ValleYum, it isn't that I am misunderstanding exemptions, it's that I can't express myself properly, lol. I meant that since I only had $1900 equity in vehicle, would I be better off ... well shoot, I still can't make sense, it was a dumb question to begin with. Okay StrawberrySu, think, then post. Actually, think, think again, think really hard, THEN post. Yes, I need all those expenses, I need to have a car with a loan, and this is the only one I have got. Thanks for pointing out the obvious, since I can't seem to see the forest these days, all these dang little trees are in my way.

No problem!! I ran into trees myself - trust me!! You will do just fine, I have faith!!