No. But, the vehicle will become a repossession if payments are not made.
Talk to the lender, or you can file Chapter 13 Bankruptcy to lower the payments where you can afford them.
A vehicle is a secured loan and cannot be discharged in bankruptcy. If a reaffirmation agreement between the lender and the borrower is not possible the vehicle is usually repossessed. However, the lender does not have a legal obligation to recover the vehicle. The lien will not be released until the loan is paid or settled to the satisfaction of the lender. Under new bankruptcy laws, the lender is entitled to collect the full amount of the loan plus any applicable legal fees and interest. This generally means that the lender will file a lawsuit to obtain a judgment which can be used as a wage garnishment, bank account levy or other method as allowed by the state laws to collect money owed.
Not if the debt was officially discharged in the bankruptcy.
Yes, your obligation under the promissory note will be discharged, however, the security interest will remain. This means the lender can still foreclose on the property if payments are not made. If you plan to surrender the property to the lender, then this isn't an issue.
Real property such as a vehicle or house is not dischargeable in bankruptcy. The debt must be reaffirmed, paid or satisfied or the property forfeited to the lender. That being the case, the person would not be entitled to a clear vehicle or land title from the lender simply because the debt was included in bankruptcy.
The borrower should contact the lender as soon as possible and try to find an equitable arrangement to catch up on missed payments. If the lender is not agreeable to such, foreclosure proceedings will likely be implemented.
The creditor is the lender. The bankrupt is the debtor. The lender never has to re-affirm he wants to get paid back.
yes, with the exception of a student loan (although its possible, the standard is so tough that most attorneys simply state they are not dischargeable). Also, if the lender was a secured lender, the loan will be discharged but NOT the lien.
You must talk to the lender who has a lien on the vehicle. It is up to them if you will be allowed to take over the payments.
Your bankruptcy was not discharged, unless it was thrown out of court. Your debts were discharged. You can keep making the payments, find somebody who will take the car and make the payments, or call the lender to make a "voluntary repossession." You will then learn what a dumb move it was to buy the car, since you will be liable for any deficiency and you cannot file c. 7 again for 8 years.
If the vehicle is protected by the state or federal bankruptcy exemption, you can try to reaffirm the loan agreement with the lender. If that's not possible you will be required to surrender the vehicle and will be probably be held responsible for any deficiency and applicable fees after the car is resold.
Not if the debt is included and discharged in the bankruptcy. If the debt is not discharged in the bankruptcy the lender(note holder)may take whatever actions are permitted under the laws of the state where the debtor resides to recover the money owed.
If you are behind in your payments and you declare bankruptcy usually you can remain in your home and continue payments. However the lender will most likely begin foreclosure since you can't afford it and you are at higher risk.
They cannot so long as the Bankruptcy is active. As long as Bankruptcy procedings continue, you and your property are protected by the automatic stay. Lenders cannot move to secure collateral until after the stay is lifted when the BK is discharged or dismissed. Once this has occurred, if the payments are not current on the vehicle and it was not reaffirmed in the BK, then the lender may take what means are necessary to secure their colateral. If the property was included in the BK, the trustee will have you make arrangements to turn the vehicle over.
A reaffirmation agreement is an agreement between the debtor and the lender that the underlying debt with not be discharged in bankruptcy. The debtor will remain personally liable for repaying the debt even after the bankruptcy.
That's the decision of the lender. The lender can take repossesion of the vehicle immediately. Sometimes a lender and borrower can come to an agreement to make up any missed payments and adjust payments so the car can be kept. The BK court does not usually take action involving secured debts. Unless there is a forced sale of such property.
Unless a secured lender has received a "lift of stay" on a debt included in bankruptcy, they must wait until the BK has been discharged before they can repossess or begin legal procedures to retrieve a vehicle. A vehicle is considered a secured debt and is not dischargeable in a chapter 7. The borrower/debtor should contact the BK trustee and/or the lender to clear up the matter or he or she may face complicated litigation in the future. The title will still show a lien holder and the DMV will not issue a duplicate one until the lender signs the vehicle over to the borrower.
You may keep your car in any state where you file bankruptcy, provided you reaffirm with the lender, or you exclude the vehicle debt from the bankruptcy. This of course is also dependent upon remaining current on the loan payments also. You should really discuss this matter with your BK Lawyer.
Ch7 Bk must be discharged prior to acquiring a mortgage.
The same one who set the payments when you got the loan, the LENDER.
Yes, this debt should have been marked as a bankruptcy by the original creditor. It cannot be changed from a bankruptcy to a discharge unless the bankruptcy did not go through.
Yes, liens survive a BK unless the debtor files an adversary proceeding to have it removed (because the lien impedes an exemption). In a BK, the note from the vehicle sale is discharged- meaning that you cant be forced to pay your car loan. However, the lien survives- so if you dont pay, the lender has the right to re-posses the vehicle. If the lender does go ahead and reposses, the lender cannot go after you for the difference between the loan amount and the amount the vehicle sold for at auction.
In most instances when you get behind on your payments. The exact details of when the lender will repossess the vehicle is listed in the contract you signed when you took out the loan on the vehicle. Read your contract with the lender.
No. But they can ask to be excluded from the bankruptcy. Usually a deal can be made with the lender to keep a vehicle. If it is covered by the exemption and the borrower lives up to the contract agreement.