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Posts: 3
Registered: ‎07-12-2016
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no reaffirmation, engine blown, will creditor take an offer?

My bankruptcy was discahrged 4/17.  The car, a nice late model import, was not reaffirmed and I continued to pay.  The company is not reporting to the credit bureau.  I am underwater on the car, but keeping it and paying was the best, or at least most convenient, option at the time.  Due to a part failure, the engine was starved for oil and probably has to be replaced.  So do many other parts.  So far, the manufacturer has stepped up to the plate, but they are waiting for weeks for parts.

 

I have since purchased a new car. Carfinance.com made the process easy, I was approved at an acceptable rate (6.5%, which pleased me), and I got a loan increase when I asked for it.  They have been nice to work with.

 

I know I can just let the other finance company pick up the car and it will nto ding by credit.  My question is this:  does anyone have any experience making an offer to the finance company to buy out the car at a small fraction of the loan price?  I can probably get it fixed, but there is no guarantee of that, and I do not want to keep paying on the car to see.  But, I would be willing to risk it if I bought out the loan (30k) for 8k or so, which is the salvage value of the car.

 

TIA.

 

Pre BK low 500s.

Now low 600s.

 

Established Member
Posts: 39
Registered: ‎08-11-2017
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Re: no reaffirmation, engine blown, will creditor take an offer?

all depends on how the conversation goes.

 

i would call, and document the calls.

 

try offering, some people will advise consulting with attorney, but at the end of the day this is just you willing to either voluntarily surrender a broken down car that you have no liability for since you never reaffirmed.

 

or... offering a small amount to redeem title.

 

i would possible even offer to file a motion to redeem for a dollar if the motor is broken down and you can prove that in documentation as well as costs to repair.

 

a finance company has to pay a company to repossess, store, auction and collect money on a vehicle....

 

it may be a loss for them to repossess and they may grant you the title for a dollar.

DISC 8/14/17: EQU: 494 TRS: 469 EXP: 492
GOAL: GET BACK TO 760
CURRENT: EQU: 598 TRS: 601 EXP: 598
Credit Karma: TRS: 678 EQU: 652
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Posts: 11,554
Registered: ‎09-10-2014
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Re: no reaffirmation, engine blown, will creditor take an offer?


rako wrote:

all depends on how the conversation goes.

 

i would call, and document the calls.

 

try offering, some people will advise consulting with attorney, but at the end of the day this is just you willing to either voluntarily surrender a broken down car that you have no liability for since you never reaffirmed.

 

or... offering a small amount to redeem title.

 

i would possible even offer to file a motion to redeem for a dollar if the motor is broken down and you can prove that in documentation as well as costs to repair.

 

a finance company has to pay a company to repossess, store, auction and collect money on a vehicle....

 

it may be a loss for them to repossess and they may grant you the title for a dollar.


You may also try to find out who they auction the vehicles through and go bid on it.

Current FICO 8 Scores EX569/TU485/EQ543 9/18/2017 Starting scores 553/485/543 08/25//2017
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