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Officially filed for chapter 7 this week and now I cant pay my car loan

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Anonymous
Not applicable

Officially filed for chapter 7 this week and now I cant pay my car loan

Hi everyone,

 

Officially filed for chapter 7 this week.

 

I have a Capital One Auto Loan which I want to keep on paying and own my car.

 

Already this week I see that my account is currently being serviced by American InfoSource. Contact xxx-xxxx for questions.

 

Does this mean I wont be able to keep my car?

 

If it helps I also have a Capital One Credit card which is part of the chapter 7.

 

Funnily enough it still allows me to pay back the debt like normal for the credit card.

Message 1 of 3
2 REPLIES 2
FireMedic1
Community Leader
Mega Contributor

Re: Officially filed for chapter 7 this week and now I cant pay my car loan


@Anonymous wrote:

Hi everyone,

 

Officially filed for chapter 7 this week.

 

I have a Capital One Auto Loan which I want to keep on paying and own my car.

 

Already this week I see that my account is currently being serviced by American InfoSource. Contact xxx-xxxx for questions.

 

Does this mean I wont be able to keep my car?

 

If it helps I also have a Capital One Credit card which is part of the chapter 7.

 

Funnily enough it still allows me to pay back the debt like normal for the credit card.


I reaffirmed my truck with C1 when I filed. I lost my online account until discharged. Had to make payments by phone. Eventually it was paid off a year later. They wont report to the CRA's until discharge. CRA's just show no data. But all payments were on time. As far as that company. I didnt have to deal with nobody else. I'd call C1 and get more details. Also ask to have an extention for this month. I did that years ago with Santander. They put the payment on the back of the loan and give you a free month. Dont know if C1 operates that way. So YMMV.


Message 2 of 3
Anonymous
Not applicable

Re: Officially filed for chapter 7 this week and now I cant pay my car loan

This is a quick answer.  I'm sure someone else will reply with something different, but this is the process:

1) If you are up to date on your car payments, the lender cannot repossess your car.  If you want to keep the car, KEEP PAYING, and do not fall behind.  Yes, they turn off your ability to pay it online.  Call and ask them where to send your payments to, and do it.  Where most people on the boards are 100% wrong is that the lender cannot take the car unless you fall behind. Period.

2) Reaffirmation.   If you want the loan to go back to normal, be available online, etc., you can reaffirm the debt.  Understand this is 100% for the Creditor's benefit, not yours.  If you reaffirm, it sets up a new contract, new terms, etc.  

 

Any attorney will tell you if you're going to keep your car in a Chapter 7, just keep paying on-time.   In a worst-case scenario, if you lost your job and all your money and couldn't pay your car payment, they'll just take the car back (but you won't owe a debt, as it was already discharged).

Message 3 of 3
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