AUTOMATIC STAY BEING LIFTED ON VEHICLE

Anonymous · ‎12-02-2016

I filed pro se and I'm not reaffirming my vehichle. My finance company for the vehicle has submitted a motion to have the automatic stay lifted for the vehichle. I have until Dec 15th to object. I need a car to get back and forth from work. My creditor's meeting isn't until January 4th. Has anyone been able to finance a vehicle before the creditor's meeting or even before discharge? Thanks for any feedback.

pizza1 · ‎12-02-2016

are you behind on payments on the car or upside down? Don't agree to the lift if you are...Matter of fact, don't agree to anything!

I did not reaffirm my vehicle, and my attn. told them ill continue to make payments. I would get an attn. involved to look things over. BK isn't not something you want to do pro se....and lenders know pro se vs attny ....dont be taken advantage of...

edit...the automatic stay is for your protection...from the moment you file.

Anonymous · ‎12-02-2016

Yes I'm behind but only about 15 days behind but willingly to pay until discharge happens. I kind of figured because I was pro se this may be happening. The lawyer for the finance company actually called me before the motion was submitted asking for the location of the vehicle. I will try objecting to the motion. I can't really afford a lawyer.

holmesnmanny · ‎12-03-2016

@Anonymous wrote:
Yes I'm behind but only about 15 days behind but willingly to pay until discharge happens. I kind of figured because I was pro se this may be happening. The lawyer for the finance company actually called me before the motion was submitted asking for the location of the vehicle. I will try objecting to the motion. I can't really afford a lawyer.

Don't listen to people that say you shouldn't do a bankruptcy yourself. As long as you don't have complicated issues that arise it's not hard at all to do your own bankruptcy if you follow the Nolo book to the t. Try to be as thorough as possible.

Regarding the car, you should call them and ask what their intention is. If they say they are simply going to take the car then atleast you know not to make any more payments. You then need to find out quick if you can qualified for a car loan. If not, then you need to seriously think about reaffirming the car if you need to keep it to get around. It's a big decision and you will need to act fast.

All auto contracts and consumer finance contracts have clauses that allow them to declare you in default when you file bankruptcy so even if you were never late they could still take the car but most don't. I only know of Wells Fargo being hardasses.

Pro Se Chapter 7 discharged July 2015

SoulMaster · ‎12-05-2016

Depending on your state's laws - them lifting the stay won't necessarily do anything if you're only 15 days behind. Depends on the definition of default in your contract/state and how big a jerk they want to be.

In addition, they may be lifting the stay to offer you a deal. As a pro-se filer, they have no option to just call your attorney.

Finally - don't forget about uber/lyft. Back and forth to work for me would be about $15/day * 20 work days in a month = $300 (not including uber coupons). Might be cheaper to use them for a while (or rent a car for a month, or buy a cheap garbage one for $500 or $1000) than it is to get boned on a lousy interest rate. Don't rush the rebuild - take it slow - even if that means not owning a car for a relativly short "few minutes" of your life.

Cheers,

-SM

I am not an attorney and none of what I write should be construed as legal advice. For legal advice please consult an attorney.

Starting Score: ~470 preBK(8/2010)
Current Scores as of Late January 2016 All 700+. Last CR pull from a lender(housing) was mid-score 749.
Goal Score: 700+ - reached.

StartingOver10 · ‎12-05-2016

All of the above comments are dead on....but I especially agree with SoulMaster. Don't let that creditor's attorney push you into a bad deal.

Anonymous · ‎12-06-2016

@SoulMaster wrote:
Depending on your state's laws - them lifting the stay won't necessarily do anything if you're only 15 days behind. Depends on the definition of default in your contract/state and how big a jerk they want to be.

In addition, they may be lifting the stay to offer you a deal. As a pro-se filer, they have no option to just call your attorney.

Finally - don't forget about uber/lyft. Back and forth to work for me would be about $15/day * 20 work days in a month = $300 (not including uber coupons). Might be cheaper to use them for a while (or rent a car for a month, or buy a cheap garbage one for $500 or $1000) than it is to get boned on a lousy interest rate. Don't rush the rebuild - take it slow - even if that means not owning a car for a relativly short "few minutes" of your life.

Cheers,

-SM

Thanks for the advice! I'm pretty sure once the stay is lifted the finance company will be coming to pick up asap. They are a not so nice subprime lender. I'm trying not to rush into financing anything. I will try the uber/lyft and car renting until discharge is over. I want to make sure everything is done correctly with this fresh start.

empressj · ‎12-07-2016

@holmesnmanny, you mentioned Well Fargo being hard asses. I filed bk 10/5/16 and finance a car through WF, never have been late and do not plan to reaffirm. Are they known to take car back even if one hasn't been late?

May I ask what was your experience with them. I have less than 30 days left before DC and concerned. I have read my contract and don't see much about bankruptcy. TIA!

Discharged Jan 2017
Rebuilding credit

beezer32 · ‎12-07-2016

@Anonymous wrote:
Yes I'm behind but only about 15 days behind but willingly to pay until discharge happens. I kind of figured because I was pro se this may be happening. The lawyer for the finance company actually called me before the motion was submitted asking for the location of the vehicle. I will try objecting to the motion. I can't really afford a lawyer.

If you're under automatic stay, which you are after filing, why is their attorney calling you? I understand that in a attorney represented case where the vehicle is not being reaffirmed, that they may contact the attorney for surrender details. However, when contacting you (the petitioner protected under the stay), doesn't this violate the stay itself even though you are pro se (your own attorney in a sense)? Someone with more experience care to elaborate on the technicality?

Also, you said you are willing to pay your car payment until discharge occurs (I assume in order to have a ride until you have to give it up). You can bet that the creditor will not do you any favors and will want to immediately retake the property quickly. The faster they can get it back, the quicker they can resell at auction and recoop the money. I also find it unusual that a finance company pursue lifing of the stay in general. This isn't common practice unless the vehicle is very late model and of high value. Normally, with an intent to surrender included in the BK petition, they will wait until discharge or just before to repossess.

Lastly, it is ill-advised to take on any new debt, including emergency auto financing while in any phase of the bankruptcy. I know that doesn't help your situation but you do not want to catch the eye of your Trustee at any point. He/She is absolutely not your friend and it could end badly for your case. YMMV however..

Anonymous · ‎12-08-2016

Who else could the attorney inform? The OP has not hired an attorney, so there is no one else for the creditor's attorney to contact.