Repo vs Voluntary surrender..which is better?

[Stilltheone]

Finally got a call today from my credit union (Escalade is "83 days past due"). We have until the end of the month or else they want it.

So, which is better....a repo or a voluntary surrender? I hate to sign anything and know we won't be able to afford any deficiency balance. I know the credit union has mentioned that when we surrender the vehicle we can just "sign definiciency papers right away"....

Any advice?

[keepinitreal]

I'm not aware of any difference on your credit report. The total amount you owe them should be a little less with a voluntary surrender because they won't need to charge you for the tow company coming and taking your car.

[StartingOver08]

It's interesting that they offered you the opportunity to "sign deficiency papers right away".

They actually have to go through the process of selling the vehicle and determining the actual deficiency first. Then they have to provide proper notification to you showing you the calculation of the deficiency by showing the actual sale less the expenses applied. They also have to show that the sale was conduced in a "commercially reasonable manner". Make sure you protect yourself, know the value of your car and don't sign anything with the CU without running it by your attorney first.

If you have filed BK, then don't sign any deficiency papers at all.

[Stilltheone]

It's interesting that they offered you the opportunity to "sign deficiency papers right away".

They actually have to go through the process of selling the vehicle and determining the actual deficiency first. Then they have to provide proper notification to you showing you the calculation of the deficiency by showing the actual sale less the expenses applied. They also have to show that the sale was conduced in a "commercially reasonable manner". Make sure you protect yourself, know the value of your car and don't sign anything with the CU without running it by your attorney first.

If you have filed BK, then don't sign any deficiency papers at all.

We did file bankruptcy, but signed reaffirmation papers on the car....ARGH!!!!

What is the value? clean trade in?

Yep, they said they can get our deficiency loan going...I asked if we had to be approved for that and they said "well, yes, but we can shove you in the loan"....why don't you shove me into a refinance?!?

[Stilltheone]

I'm not aware of any difference on your credit report. The total amount you owe them should be a little less with a voluntary surrender because they won't need to charge you for the tow company coming and taking your car.

Any balance we owe we can't afford to pay them. I have researched and, in the state of WI, we are exempt from a wage garnishment because we receive state aid.

[olivies]

Well, your BK was discharged 2 years ago. How long do you have left on the vehicle?

[Stilltheone]

Well, your BK was discharged 2 years ago. How long do you have left on the vehicle?

Doesn't matter...they came and got it last week. It's over!

We had 2.5 years left, we were half way done with the loan.

Funny thing is is that we voluntarily surrendered it, yet they charged us a bunch of fees. They want over $3700 to redeem the vehicle, yet our monthly payment was only $460/mo and we owed 5 months.

[keepinitreal]

Doesn't matter...they came and got it last week. It's over!

We had 2.5 years left, we were half way done with the loan.

Funny thing is is that we voluntarily surrendered it, yet they charged us a bunch of fees. They want over $3700 to redeem the vehicle, yet our monthly payment was only $460/mo and we owed 5 months.

Since they still had to come and get it, their expenses weren't any lower even though you voluntarily surrendered your vehicle. That sucks that the expenses are so high.

[Stilltheone]

Since they still had to come and get it, their expenses weren't any lower even though you voluntarily surrendered your vehicle. That sucks that the expenses are so high.

They came and got it because our collection specialist lived in the same town. She came before work and just drove it to work. There shouldn't be any collection fees whatsoever.