Stopping automatic dudections

[Crozier]

I have two big ticket unsecured credit union loans. Both are automatically deducted from my check. I cannot stop making payments, because they are auto pay. What happens when I file and they receive notice? When will the payments be stopped, if ever? It's like the Hotel California. I can check out anytime I want; but I can never leave!

Any suggestions? Anyone, anyone, Bueller?

[Crozier]

....DEDUCTIONS. I promise I can spell

[justbroke]

Ah, you said the magic two words... "Credit" and "Union"!!! Once you file and have your case number, call the Bank and tell them to stop the payments as you filed for Bankruptcy. I don't see how you can't get out of it earlier?

You may want to withdraw all your money first, and open a new account somewhere else! Credit Unions are really bad when it comes to cross-collateralization, loans, and the members who file for bankruptcy! They are not too kind.

Also, if you have direct deposits of any type, get them moved too.

[Nancy]

You can take them off of automatic deductions. It is easy, simply call the bank and tell them to stop. I have done it and had no problems doing it.

[Nancy]

After re-reading your post..........are the payments directly taken from your pay through your employer to the cu or from your account to pay the credit union? Both should be easy to stop prior to filing. I understand cu's are tough - take any money out before you file (or leave little in) they will seize it.

[2manybills]

Actually, our HELOC was auto deduction from our Wells account and once we filed, that stopped automatically and I have to make the payments at the bank.

[Crozier]

These guys are brutal. Quick story; last year when I asked about a short sell on my former home, they said they would hold it up for months to see if the market would get better. Once I found a buyer, and sold it (at a loss), they graciously offered to finance the underpayment. Caught between and rock and a hard spot...I went for it. I should have walked away back then. The stupid things I have done financially.....man oh man!

So, to clarify, once I file, I can get the payments stopped? Please say yes!

[2manybills]

Yes, when you file it stays all payments.

[Crozier]

Yes, they are taken directly from my check, prior to everything, except retirement, healthcare and taxes. Any other ACH or autopays are subordinate to the CU.

[2manybills]

Once they receive notice of your BK, all auto-payments will stop. Also, all statements will stop.

[klandsb]

I have my car pmt taken directly out of my paycheck to my credit union. My attorney said something about getting refinanced to get the interest rate down but it is probally at a really good rate because its been 2 yrs and I think it was in the 4.9% range.. I dont plan on including it on my bankruptcy and want to keep paying the pmts. I am above income on the means test /filing 13/ w/looking at paying for 5 yrs. Do you think they will continue to take out my payments even though I have a cc with them that I am including... Would it be considered a ride through ??

[Nancy]

Yes, they are taken directly from my check, prior to everything, except retirement, healthcare and taxes. Any other ACH or autopays are subordinate to the CU.

If it is court ordered, I would wait and let the bk filing stop the payments, if not, I would tell your employer to stop paying them (effective immediately). If it is not a garnishment and court ordered/approved, they can't make you pay for it.