More details to this question:
I have questions regarding a vehicle that I chose not to include in my bankruptcy with the intent to continue making payments on it. My work and financial situation worsened and quit making payments on it three years ago. The vehicle is still in my possession, but has not been driven during this time. I have tried to have it taken back when the repossession guys came and took another vehicle of mine. They said it was not on their list so they could take it. Now, I'm in need of second vehicle. The tags on this vehicle are expired, and my questions are if I renew the tags will this flag the collectors, what am I liable for, will the bank come after me for money, do I owe anything, and what to expect. Due to my financial situation would I be better of to drive the vehicle with expired tags and pay the fine if pulled over. It seems it would be cheaper at this time rather than renewing the tags, flagging the bank, and having to pay thousands right now. I realize this is asking a lot. Please advise. Thank you
8 ANSWERS
Daniel James Wilson
You say you "chose not to include in my bankruptcy." When you file a petition for relief under the bankruptcy statute you are required to list every asset and every debt. If your attorney did his job correctly he listed your car as an asset on Schedule B, claimed the exemption on Schedule C, and listed the debt as a secured debt on Schedule D. Your debt was discharged. Unless you reaffirmed the car loan debt after filing your petition and before your discharge of debts you have no financial obligation to the lender. You don't say what kind of car you have or how old it is, but the bank may not want to bother to repossess it. I do not advise you drive with expired tags.
Answered on Aug 31st, 2011 at 10:30 AM
Bankruptcy Chapter 7 Attorney serving Boulder, CO
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Law Office of Paul Stuber
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Don't risk driving with expired tags. I am not sure when you said that you did not include the car in your bankruptcy? Did you not list an asset in the case? Did you list it but keep payments? Did you reaffirm? There is a different outcome for all three. The first question is: Do you have a clear title to the car or is the Bank listed on the title as lien holder? If they have a lien and it is not paid they can take the car back. Maybe you should call the bank and see if you can work out a new payment plan or to turn the car back to them.
Answered on Aug 17th, 2011 at 9:25 AM
Bankruptcy Attorney serving Livonia, MI
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Charles J. Schneider, P.C.
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Why are you not asking your attorney on the case you previously filed these questions? I routinely, without charge, would do so. The answer depends on what you mean by I did not include the car loan in my bankruptcy. All debts must be listed in a bankruptcy whether you decide to keep the debt is a separate question. If you signed a reaffirmation agreement to keep the debt then you owe it. If it was never listed then you may not owe it but only if you had a no asset case and the car loan did not involve fraud. Your previous attorney is in the best position to answer these questions.
Answered on Aug 16th, 2011 at 2:51 PM
If you listed it in the bankruptcy, and they did not reaffirm it, then you will not owe any money when it is repossessed. It is already discharged.
Answered on Aug 16th, 2011 at 12:54 PM
Information provided doesn't create an attorney/client privilege nor constitute an offer of services and is only general responses to hypotheticals
judith runyon
Talk to a bankruptcy attorney
Answered on Aug 16th, 2011 at 12:02 PM
Glen Edward Ashman
If you filed a bankruptcy and omitted a car you committed a serious felony. You can face 5 years in prison and a $250,000 fine, and revocation of your discharge. If you commit additional state law crimes with car registration you face additional jail and fines. Get a lawyer (you should have had one to begin with). Possibly you can reopen your case, fix your perjury, and maybe avoid jail. If you wait to get caught, expect very bad consequences.
Answered on Aug 16th, 2011 at 9:48 AM
Bankruptcy Attorney serving Concord, CA
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William Rubendall Attorney at Law
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When you continue to make payments on a vehicle after bankruptcy your rights are determined depending on whether you signed a reaffirmation agreement. If you have done so the creditor can repossess, sell the car and charge you for any deficiency (there always is a deficiency). If you haven't signed a reaffirmation agreement the lender can repossess but not pursue a deficiency.You must keep the registration (tags) current as long as you have possession..You are not allowed to drive a vehicle with expired tags.
Answered on Aug 16th, 2011 at 9:47 AM
It appears from your question that you filed a Chapter 7 Bankruptcy several years ago. If you did not reaffirm the debt, but simply continued to pay on the vehicle after filing, the only remedy the bank has is to retrieve their collateral. They may not be able to come after you for payment. If you did sign a reaffirmation agreement, they may be able to collect money damages in addition to picking up the vehicle. Registering the car will not necessarily alert the lender, but it may give the lender an updated address if they choose to look. Driving the car with expired plates may cost you more than a simple ticket. The longer it remains unregistered, the more costly it may become, even to point of having it impounded.
Answered on Aug 16th, 2011 at 8:26 AM