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Can Bankruptcy Stop Repossession Of Vehicle

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Orange County and Riverside bankruptcy attorney Norma Duenas has represented more than 3,000 individuals and couples in filing for Chapter 7 and Chapter 13 bankruptcy. Her focus is on ensuring that clients understand how bankruptcy works and whether it is the right option for their unique financial circumstances.

Attorney Duenas approach is to present those taking advantage of a FREE consultation the best possible options available to resolve their financial problems and to help them rebuild their financial future. Ms. Duenas is a member of the National Association of Consumer Bankruptcy Attorneys and has an Excellent rating among clients on Avvo.com. Her law office is also part of the Better Business Bureau and has an A rating.

As part of meeting with Norma Duenas you will fill out a questionnaire in person or online from home that will help us evaluate your financial situation and determine if bankruptcy can eliminate your debts and stop creditor collection efforts. Our founding attorney, Norma Duenas provides a free phone or office consultation up to one hour to review your facts, answer your questions, and provide you with all possible options.

If you need further assistance or to schedule a free phone or in-person consultation, please call us at or if calling us is not practical or its after hours.

What If I Decide To Surrender My Vehicle After Repossession

Although losing your vehicle can be distressing, it may be the best option depending on your case. Surrendering your vehicle in Chapter 7 bankruptcy gives you some advantages such as:

  • There are no more monthly loan or insurance payments.
  • You dont have to come up with a lump sum of money to pay the accrued late payments, late fees and other possible charges.
  • Chapter 7 discharges any deficiency balance, which is the amount you would owe after the creditor sells the vehicle and applies the proceeds to the balance.

Chapter 7 Bankruptcy & Vehicle Repossession

A car or truck is the primary mode of transportation for most people in Wayne County. The loss of their vehicle can represent not only a general hardship but even a strain on their employment.

Aside from houses, vehicles are one of the most expensive items most people buy. Once you miss a loan payment, the late fees and continuing payments can quickly become insurmountable. You may face repossession. Find out how repossession works in Michigan and how your Chapter 7 bankruptcy can help you get your vehicle back.

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Repossessors Must Be Licensed And Registered

Repossession businesses must be licensed as repossessors by the State of Nevada Private Investigators Licensing Board. Any employee of a repossession company must also be registered with the board and should have a work card showing their registration. On the boardâs website, you can verify a repo companyâs license or a repo employeeâs registration.

Licensing and registering arenât required if you financed your car from a buy-here, pay-here dealer and the repo is done by the dealerâs employee. This is because of an exemption in the Nevada Revised Statutes.

Can Chapter 13 Help Me If I Have A Title Loan

How to Avoid Vehicle &  Car Repossession in Arizona ...

The short answer is yes. If you got trapped in a title loan, you can pay the value of the vehicle versus what you owe. This cram down is very helpful due to the extremely high interest rates on title loans. It does not take very long for a title loan to easily double the value of a vehicle.

EXAMPLE: You own a 2005 Chevy Cobalt, valued at $1,000. You got a $1,000 title loan a few months back. The interest rate is 300%. The monthly payments are $400 and the balance keeps growing. You missed a couple payments and now owe $2,500 and are facing repossession. In a Chapter 13 Bankruptcy, the pending repossession is stopped, and you only have to pay $1,000 over 3-5 years at 4.75% interest to fully pay off the title loan off.

To Learn More About How a Chapter 13 Bankruptcy Can Stop Repossessions, Call Chris W. Steffens, a Kansas Licensed Bankruptcy Lawyer at for a FREE Consultation over the phone, in person or you can email us now

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Contact Us For Help If You Are Facing Repossession

If you are faced with repossession, time is of the essence. Get legal assistance to learn if bankruptcy can stop repossession of vehicle by contacting the experienced and compassionate debt-relief attorneys at Fesenmyer Cousino Weinzimmer today for a FREE INITIAL CONSULTATION.

Our experienced and compassionate attorneys know what you are going through. We will evaluate your entire financial picture to find the best fit for your individual situation. We will handle every phase of the process to stop repossessions and find the debt-relief solutions that work best for you.

Delaying can only make your situation worse, so contact us online or call the Ohio bankruptcy attorneys at Fesenmyer Cousino Weinzimmer today.

What Our Clients Are Saying

Mr. Wright and his staff were amazing. They made a negative situation a lot better and turned it into a positive. Could really tell they care helping people and I will refer their Phoenix Bankruptcy Attorney firm to friends and family. Thanks again.

Tara

I called around looking for the right bankruptcy lawyer and came across Benjamin Wright. He personally called me for the consultation seeing how I live in Kingman AZ. He was very helpful from the start and his staff was very friendly and explained any questions I had, sorry for all the questions. I would definitely recommend Wright law offices, and I do!! Thanks for everything, you made what seemed like a hard thing to do simple!! You guys rock!!!

Steffanie

Great lawyer, he really helped my mother out of a jam. She was totally new to bankruptcy and he talked with us for about an hour and a half to make sure she wouldnt be worried.

Damian

Ben is a kind and down to earth attorney. He worked around my busy schedule as a single mom . He explained absolutely everything to me and was good about e-mailing. I am writing this review as a THANK YOU.

Shannon

I had a very positive experience with Attorney Wright. He or his staff returned my e-mails and calls promptly . His fees were reasonable. He was patient with me when I showed up in court missing an important document. He is aggressive, but fair and nice.

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How Does Bankruptcy Stop Repossession

When you file for bankruptcy, an automatic stay is put on your debts. This means that all collection activity against you or your property must be stopped, even if a creditor has already sent out the repo tow truck. Even if your bankruptcy is filed after repossession, you can typically get your vehicle back. Timing is critical, so contacting a bankruptcy lawyer right away is essential to protecting your property.

Can Chapter 7 Bankruptcy Stop A Car Repossession

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  • Can Chapter 7 Bankruptcy Stop a Car Repossession?

Filing for Chapter 7 bankruptcy can help you get back on track when youre unable to pay your monthly bills. But can it stop a car repossession?

Yes but only temporarily. Your auto loan lender can obtain court permission to repossess your vehicle at any point. And if you arent making timely payments or your car loan is in default, this is likely to happen.

The good news is that, when you file for Chapter 7 bankruptcy, you have options to put a permanent stop to car repossession.

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What Is A Repossession

When you fall behind on your auto payments, you have defaulted on the loan. Once in default, a lender has the right to repossess, meaning take the vehicle from you, so that they can sell it at auction and use the funds to recover some of their losses.

One common misconception is that, if your vehicle is repossessed, you no longer owe on that loan. This is untrue. The lender can still hold you accountable for any fees and remaining balance after they sell the vehicle and pay the balance with the proceeds which means you could have a car payment on a vehicle you no longer own.

Vehicle Repossessions And Bankruptcy

If you fall behind in your car payments or make them erratically, the lender that loaned you money to buy the car may consider repossessing the vehicle. Once you file Chapter 7 bankruptcy, an automatic stay goes into effect, and creditors, including your car lender, are stopped from continuing their collection activities. An automatic stay stops a car lender from repossessing your car. However, the lender can ask the court to lift the stay so that it can repossess the car.

The lender can make the request by filing a motion for relief from the automatic stay with the bankruptcy court. The lender will need to show that its interests are not adequately protected because you are in default or you are not making timely loan payments. You will have an opportunity to oppose this motion, either on substantive grounds, such as when the lender fails to note payments that were actually made, or procedural grounds, such as the lenders failure to serve the motion with adequate notice to you. In many cases, however, you will need to try to informally negotiate with your lender or cure your default. If you are not working towards a solution, the judge will lift the stay so the lender can repossess the vehicle.

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No Repo Of Vehicles From Tribal Lands Unless Tribal Law Allows

If your vehicle is on an American Indian tribeâs reservation or colony in Nevada, the lienholder must follow that tribeâs law to repossess your vehicle. For example, some tribes prohibit a lender/lienholder from repossessing a vehicle without first getting a tribal court order. But if you live on tribal land, Nevada repo law still applies whenever your vehicle is outside of the reservation.

Can I Buy A Car If My Car Was Repossesed

What to Know About Hiding a Car to Avoid Repossession

A repossession can negatively impact your credit for up to seven years, but its still possible to buy a car with a repo on your credit reports. When you get an auto loan, the lender owns the car until the loan is paid off, even though youre the one driving it. And if the loan goes into default, the lender can seize the vehicle.

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It Stops Creditor Harassment/collection Calls

A Chapter 7 case stops creditor harassment. It is stressful dealing with creditors. The endless telephone calls, threatening letters, and lawsuits can harm your health. When creditors call you at work, your performance at work may suffer. In some cases, creditor calls at work could get you into trouble with your boss. Chapter 7 stops all collection actions.

What Happens To Your Car When You File Bankruptcy

Keep reading to find out what to expect if your car is repossessed after filing Chapter 7 bankruptcy. Written by Attorney Jenni Klock Morel. Filing for Chapter 7 bankruptcy can erase your personal liability to pay back your car loan, but it cant erase the lien your creditor has against the vehicle.

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Can I Get My Car Back After A Repossession In Nevada

You have a limited right of redemption to get your car back after repossession. To redeem your car, you have to pay the entire balance left on your car loan, as well as all the repossession costs. If you want to redeem your car, you have to do it before your lender sells the car. The notice your lender sends you after the repossession has to give you information about how to redeem your car.

What Is Chapter 7 Bankruptcy

Filing for Chapter 7 bankruptcy is not an easy fix. Filing Chapter 7 means that the bankruptcy court will liquidate your non-exempt assets, sell them, and use them to pay back your creditors. If you dont have any of these non-exempt assets, your case will be deemed a no asset case. Your primary home is sometimes an exempt asset, but all of your other stuff is fair game.

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Is Bankruptcy A Bad Thing

Bankruptcy is only a bad thing if the individual uses it incorrectly. People that file for bankruptcy in order to get their finances back on the right path, and dont try to abuse the legal system have seen how good of a thing bankruptcy can actually be. Despite popular belief, filing for bankruptcy can actually help your credit score by eliminating old debt thats been on your record.

So, with all of the information weve given you how would you know if you should file bankruptcy to stop repossession? Call us to speak with our bankruptcy attorney in Los Angeles that knows the laws and can assess your specific situation. Well review your current car loan, as well as any other debts you may be facing.

Stopping A Vehicle Repossession Or Seizure With Bankruptcy: The Bottom Line

The bottom line with regard to vehicle repossession and seizure in bankruptcy is that, to act aggressively and effectively to stop such action from occurring, it is essential that you retain the services of an experienced bankruptcy attorney to assist you.

A knowledgeable Michigan bankruptcy lawyer knows who to call and who to notice of the bankruptcy filingand who to pursue for contempt and sanctions when needed.

Attorney Walter Metzen has successfully represented Chapter 7 and Chapter 13 bankruptcy clients in the Detroit area for over 28 years.

Contact us now to schedule your free, initial bankruptcy consultation.

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Can Chapter 7 Help Before A Repossession

A Chapter 7 bankruptcy case can stop a repossession or stop the creditor from selling the car at auction. However, the Chapter 7 case only stops the repo temporarily. You must negotiate with the lender to work something out, or you can redeem the vehicle.

A lender may refinance the loan or work with you to catch up the payments, but the company is not required to work with you. Working with the lender may be costly because it may add late fees, charge a higher interest rate, and add the repo fees to the amount you owe. You need to be very careful when reaffirming or refinancing the debt.

How Can Bankruptcy Stop A Vehicle Repossession Or Seizure

Stop Repossession

Either Chapter 7 or Chapter 13 bankruptcy will stop a vehicle repossession or seizure immediately upon filing.

It is, however, important to differentiate between vehicle repossession and seizure.

Either Chapter 7 or Chapter 13 bankruptcy will stop a vehicle repossession or seizure immediately upon the filing of the case with the Court.

Either form of bankruptcy will offer at least short-term benefit in either case, but, whether there is a long-term benefit or not will depend upon whether your vehicle has been repossessed or seized and whether you have filed a Chapter 7 or Chapter 13.

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Car Lenders Can Collect A Deficiency After Repossession

In most states, your car lender can come after you to collect its deficiency balance. The lender is limited to asking you to pay the deficiency without first doing more. If, however, your lender sues you in court and obtains a deficiency judgment against you, the lender can start garnishing your wages or placing liens on your other assets.

Your Credit Score Will Improve

A Chapter 7 bankruptcy case wipes away old debts. For many debtors, filing a Chapter 7 case can help them improve their credit score much faster than ignoring the debts. A good credit rating can help you go back to school, live in an area you choose, and get the job you want. Our credit scores affect many areas of lives. Therefore, you want to take care of old debts now instead of later.

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Filing For Chapter 7 Bankruptcy Temporarily Stops Car Repossession

Immediately after you file for Chapter 7 bankruptcy, an automatic stay goes into effect. This court order stops your creditors including your auto loan lender from taking any action to collect the debts you owe. While youre under the protection of the automatic bankruptcy stay, your car cannot be legally repossessed.

However, you may not be able to keep your vehicle for long. At any time, your lender can file a motion for relief from the bankruptcy stay. If your auto loan is in arrears, the judge will probably allow the car repossession.

How Can A Dallas Repossession Attorney Help

At Leinart Law Firm, we care about our clients. Our debt attorneys and bankruptcy lawyers have years of experience helping clients successfully halt repossession in Texas. Our knowledgeable, caring team is here to help you repair your financial woes and give you a fresh start. Our attorneys offer free initial consultations, and were happy to answer any questions and address any concerns you may have.

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How Long Will A Repo Man Look For My Car

Most Tennessee lenders hire a professional car repossession company to retrieve vehicles. The longer it takes them to find your vehicle, the more money you may have to pay back to the lenderand the lender may seek your vehicle indefinitely if they wish to do so.

As soon as you file for bankruptcy, whether Chapter 7 or Chapter 13, though, the lender must temporarily stop repossession of your vehicle. This gives you the opportunity to find a debt relief agency and decrease your loan balance, negotiate your deficiency balance, or work out a forbearance agreement with your lender.

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