How much time do I have before I lose my vehicles?

[elicon200]

I am a month away from from filing chapter 7. I have a line of credit, cc, navcheck and two auto loans with NFCU - the bulk of my filing. I was not aware (nor my lawyer, apparently) about the anaconda clause until yesterday AFTER I told a caller from NFCU my intentions to file. I know, a few mistakes...the question is how much time do I have before they take them away? Will they notify first? Will they hustle to grab them before the August filing?

If I knew about the clause, I would have refi them to get them off the NFCU books and safely in excemptions since I fix all may cars and put a good deal of money into them.

Thank you and happy 4th.

[jetsfan2010]

are you currently behind on your car payments? if so how many months?

all credit unions have "cross collateralization", so if you default on a loan, they can (and will) move funds from your bank accts to cover. The easy fix between now and when you file is to open a bank acct somewhere else. Again, I am assuming you arent already behind on your car to the point they could repo.

[debee]

Why not trade them in or refinance them now?

So long as NFCU gets paid off, they can't object. Make sure the new lender perfects the lien before you file bk. Then offer to reaffirm with the new lender. If your schedule I/J is negative, the court will not allow the reaffirmation to be filed and you will likely get a ride-through. It's not guaranteed, but there's a good chance it will go that way. Just an idea.

[elicon200]

I am not late on the two loans but several months behind on the personal/credit card loans. What is "schedule I/J is negative"?
Thank you.

[IamOld]

My atty told me that NFCU can be "brutal" to their customers. Atty has NFCU under lenders that will try to "screw" you, so be careful!!!

[elicon200]

At least your know about them...mine did not and I was the one who discovered the cross clause. Months back when it became apparent that I was starting to have money trouble, I could have jumped ship with the car loans when I was still in good standing.

Now the question remains, how much time have other people had when in the same situation before they took their vehicles?

[IamOld]

Just be careful with them!! As to timing...I don't know...others will chime in, but I'd be VERY careful with them!!!!

[jetsfan2010]

As to how much time you have not sure if anyone could truly give you an answer you would be comfortable with. if someone says 30 days and they come and scoop the car Friday, you might be more upset. Like most have said, attempt to refi the car if you can now.

[debee]

What is "schedule I/J is negative"?

Schedule I and J form part of a chapter 7 bankruptcy petition. Schedule I is income. Schedule J is expenses. If you have more expenses than income, you end up in the negative when you put your schedules I & J together.