QUESTION
What do I do to stop my creditor from allowing me to continue to make payments, then once it's almost paid off, repossess it?
Asked on Aug 26th, 2015 on Bankruptcy - New York
More details to this question:
I was discharged for my chapter 7 bankruptcy this year, and I didn't reaffirm my car. I am continuing to make payments, and plan to pay it off. There is no deal in place.
3 ANSWERS
Lots of vehicle lenders will pull this stunt if you don't reaffirm, which is why I always consider a redemption of the vehicle during the bankruptcy.
Answered on Sep 01st, 2015 at 4:55 PM
Commercial & Bankruptcy Law Attorney serving Powell, OH
at
Ronald K. Nims
Update Your Profile
If you're current on the payments, there is no reason to repo the car. The bank doesn't get the full value of the car, just enough to repay them. The rest goes back to you. Also, there is a question whether the contract gives them a right to repo if you're current.
Answered on Sep 01st, 2015 at 10:37 AM
You have to do what is called a reaffirmation agreement.
Answered on Sep 01st, 2015 at 12:36 AM