What Chapter did you file? Were you discharged? What do you mean "umbrella"? Thanks, XXXXX XXXXX be happy to try and help you with your questions.
Thank you for your reply. I'm sorry I was so vage. I'll try to be more clear. Not sure on which one but I filed under the one in which you don't pay back. Yes, I was discharged. I used the term "umbrella" only because of the length of time the bankruptcy stays on ones credit report. Which by the way, I don't know the true facts about that either. I hope I've made myself more clear. It's hard to translate legalies into layman terms. Again, thanks so much!
You filed a Chapter 7 in 2002. You cannot file Chapter 7 bankruptcy again until 2010, but you are able to file Chapter 13, as that can be filed 4 years from a prior Chapter 7 filing. Bankruptcy stays on your credit report for 10 years.
I am curious how you didn't discharge the loan for the 5,000.00 in your first bankruptcy? If you incurred the loan prior to filing you should have listed them as a creditor. And how did the loan grew double the amount? Did you get a "hard money loan" and reaffirm the loan?
Anyway, if you just surrender the car now, they would sell the car and could possibly get a "deficiency judgment" for the difference in what they got in the sale versus what they say you owe them. Once they got the judgment, they could attach or garnish bank accounts or wages to collect on the Judgment. This process does not happen over night, it will depend on how aggressive they are about getting the Judgment. They will have to sue you, you get a summons and a chance to "answer". Always answer, never ignore a summons, even just repsonded I don't agree, then stops them from getting a default and will cost them more to move forward. Most people just ignore these things and then the companies get a default judgment.
Your best bet is to seek a consultation with a bankruptcy attorney and bring the note they have with you, they can see the terms and what is going on, and advise you what to do. I certainly wouldn't pay 10,000.00 for a car if it is junk. Better to let them do what they will and stall them long enough so if you do need to you can file bankrutpcy again. I hate to advise something like that, but it may be your only way out. Again seek some one on one assistance from an attorney in your area.
Those are good questions....It's hard to remember details, but I recall after I was discharged and some time had passed, these people kept bothering me. I do remember telling them myself that I had filed for bankruptcy (assuming they already knew) and they said they were unaware of it. Shortly after that they did stop. For some reason I don't think they were told and I justify that with the fact that even though the car was in my name, they held the title. Maybe my attorney said something...I don't know. Would they be included in the discharge despite the fact they held my title? Is it legal to not include everyone in the filling? At the time I had bad credit and Citi-Financial was the only place I could turn to then (1998). The interest rate was so high and despite paying what little I could, it never went down, it went up.
You need to find out if they were included and part of your bankruptcy, if that was the case, you don't owe them anything, and they should have repossessed the car. You can ask your attorney for a copy of your schedules if you don't have them, or you can get them electronically through the courts.
It does not matter if they physically have your title or not. If they were discharged, this debt is not owed.
You have to include all creditors in your bankruptcy, you cannot take partial bankruptcy.
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