Repo or wait??

[amc3000]

I have a question about a repo. Right now, im debating on doing ch7 or 13. Attorney told me if i do 7 i HAVE to reaffirm my truck. Thing is i do NOT want my truck any more. Its a dodge ram and between payments, gas, and insurance are like 1k. That is pretty much making me poor. Im debating on a few things:

Taking back to where i got it or calling bank and telling them they can have it back. Which will ruing my credit but so will will a BK.

Waiting, filing ch13 and then letting it go back.

Apparentley, if i let it go back now, i can include the negative i will be getting a bill for in my Ch13.

I really need to get rid of the truck fast due to me needing a 4 door now (family). I am very upside down in it as well.

and BTW-- the truck has issues. It keeps leaking anitfreeze and water. Tranny slipped today.

Any suggestions?

[buchanj]

First you must be sure you got transportation. I dont think they can make you continue with the car in chapter7 or 13. If you want the car you have to reaffirm in a chap 7 Im guessing.
If your upside down get rid of it. If you can do a chapter 7, do it. chapter 13 involves a 3-5 year monthly payments depending on how much you owe and your income.

Check with some of the experts on this board but I cannot believe you have to continue with a car payment if you do not want too.

[JollyGG]

I have a question about a repo. Right now, im debating on doing ch7 or 13. Attorney told me if i do 7 i HAVE to reaffirm my truck.

Why?

You may choose to reafirm a vehicle in a chapter 7, but you should also have the option of surendering it.

Is it because you need the truck payment to pass the means test? Are you over the median income for your state?

If this is the case getting a different vehicle that suits the needs of your family better would be your best option. You would still have the maintance, gas, and car payment to put on the means test, just on a different vehicle.

[amc3000]

they told me since im over median, that i would have to keep the truck and motorcycle if i want to do ch7. Which i dont really want either one, especially the truck.

I just dont know what to do right now. Trying to figure if i should just take it back, keep it until i file, file then let them come get it. Im prob definatley going to have to file one of them, and more than likely 13 instead of 7 due to me failing means when i remove truck.

Im tempted to just do this. Pay truck payment to keep them from coming and getting it, NOT pay any other bill and save up my money for a new car and pay cash for it. then file BK

[amc3000]

anyone please?

[my4devils]

Has your attorney talked to you about doing a ride through? We are in a similar situation, however, we are just below the means for a family of 6. To be on the safe side we are keeping our van payment so we have less disposable income. We are not reaffirming nor are we going to appear to be surrendering. When the BK is discharged- we will then give up the van as we can walk away since technically the van was included as part of the BK. We will end up throwing a bit of money away on a payment or two but it is all worth it to make sure the process goes as smooth as possible in discharging 70k+ of debt. This is advised from our attorney- and the timing can be a little tricky- so make sure you check with yours!

[JollyGG]

I would also recomend meeting with a few more lawyers to get some other opinions on your situation.

[fred333]

That is some great advice. It is tough to get away from debt. We are having a similar problem right now, but think we will be ok.

[amc3000]

hmm, how do u not reaffirm or surrender? I mentioned doing ch7 with my attorney, then after that telling the bank to come get my truck. He said that was kinda unethical and if i was planning on doing that, he wouldnt help me.

[One Half Full]

I was told to let mine go because it was upside-down. I talked to a new lawyer and she said basically just stop paying on it (now) and wait till they take it away. Keep up the insurance though. You should ask for a second opinion. I've decided on 3 lawyers now. The 3rd one I like the best.

[my4devils]

Basically you continue to make payments even though your car payment is listed on your matrix because all of your debt has to be listed anyway. It is rare for a lender to repo if you are making timely payments. Once your case is discharged- you call the lender up and turn it in, or quit paying and they will come and get it. The debt was included in BK so they cannot come after you for any balance owed. This used to be called a ride through but I believe this practice was technically dc'd when the new BK laws were enacted. I dont know as to whether this is unethical or not, but our lawyer is very comfortable with us doing this and said that it is still quite successful despite law changes. Someone more familiar with the law changes will hopefully provide more info here. Have you met with any other lawyers about this? Is this one on retainer yet?