Will Santandar ever come get this car??!!

[dancersmom22]

All, just thought I'd post an update on our car saga. We are 10 months post ch 7, didn't reaffirm our car loan with Santandar. We've replaced this car with a low interest, late model used car. We're now 2 payments behind on the Santandar loan, and have called them multiple times to come pick up the car. My husband talked to them last week on the phone, once again they reported that no one had called before about the car...sigh. He told them to hurry up and come get it, as the insurance runs out at the end of this month. It's still in our driveway with no plates, easy to get to, and unlocked. Sure hope they get it soon!!

[jlmaca]

All, just thought I'd post an update on our car saga. We are 10 months post ch 7, didn't reaffirm our car loan with Santandar. We've replaced this car with a low interest, late model used car. We're now 2 payments behind on the Santandar loan, and have called them multiple times to come pick up the car. My husband talked to them last week on the phone, once again they reported that no one had called before about the car...sigh. He told them to hurry up and come get it, as the insurance runs out at the end of this month. It's still in our driveway with no plates, easy to get to, and unlocked. Sure hope they get it soon!!

I have a similar situation. Filed BK Chapter 7 in November 2010. Did not reafirm the auto. I need transportation so kept the car and now live in another state. Since so much time has elapsed I cannot register it since I don't have the title. I've asked the bank many times to let me pay monthly or come get the vehicle. They basically won't do anything. So I'm stuck with a vehicle in my driveway like you that I can't do anything with. I'm thinking about putting a sign in the vehicle that says "steal me". I wish there was a viable option here.

[jetsfan2010]

from what my lawyer told me you have to keep the car insured until the day that the lender picks up the vehicle.

[jlmaca]

from what my lawyer told me you have to keep the car insured until the day that the lender picks up the vehicle.

Sounds logical but impractical. We have unresponsive banks and we could end up with vehicles in our possession indefinately. We're talking serious insurance money here going forward.

[justbroke]

from what my lawyer told me you have to keep the car insured until the day that the lender picks up the vehicle.

Perhaps Virginia is funny about this, but as long as the car does not operate upon the public roads and highways, it does not need to be insured at all. If you garage (park) it and remove the plates, then you have no "insurable" interest and therefore no need to have insurance on the vehicle. Also, in many States and municipalities, there are excise taxes on vehicles, so returning the plates is an important step as well.

As for the bank not doing anything about the vehicle? Wait a few months. If nothing happens, you could try to re-open your bankruptcy case ($260) and ask the court to demand that the lender take the vehicle or release the title. This is known as a Motion to Compel. It was successful in a couple of well-known cases. One (In Re Pratt) was where the lender would not release the title unless the debtor paid. The debtor wanted to salvage the car as junk but the salvager wanted clear title. The debtor went back to the bankruptcy court under a Motion to Compel and for Sanctions claiming that the lender was doing nothing more than attempting to collect a debt. The lender (GMAC) didn't "want" the vehicle; but also didn't want to release the title. The court sided with the debtor and awarded sanctions and the title.

Of course, it is probably not worth it pursuing that route in the Pratt case, but there you have it.

So, at least the first part of the strategy is to send an official letter and indicate that they need to repossess the vehicle OR release the lien on the title; otherwise you will re-open the case and ask the Judge to compel them to do one or the other and reference In Re Pratt. (Although Pratt is not binding outside that District, it is certainly persuasive.)