Repossession | Avoid Vehicle Repossession | Savannah & Hinesville, GA

My Vehicle Has Been Repossessed | What Do I Do?

If you find yourself in the unfortunate situation of vehicle repossession or it has already been repossessed, you can recover the vehicle if you file a Chapter 13 bankruptcy case in Savannah or Hinesville within the 10-day redemption period. The lienholder would send you a 10-day letter and this would set your deadline. In some cases, the lienholder will release a car even if you file after the deadline has passed. 

In many cases, the monthly payment on your vehicle will be reduced when included in your case for Chapter 13 bankruptcy in Savannah or Hinesville, and interest rates, even on Title pawn loans, like Titlemax or Title Cash, can be reduced to 5.25% per annum. 

If your car loan is more than 910 days old, (two and a half years), then you can reduce the debt to the NADA book value under your chapter 13 plan. You can also reduce debt if the loan was refinanced or if the loan had been previously paid off and you gave your vehicle title as collateral to a loan company. We can file a Chapter 13 case in about an hour and call your auto finance company and tell them your vehicle is under protection.

No finance company will attempt to repossess your vehicle after we have notified them. If your vehicle has already been repossessed, we can have it released back to you if you see us within the redemption period, roughly fourteen days after repossession.  Some redemption periods will be ten days, some will be longer: come in right away if your car is repossessed.  To have the vehicle released we will need proof of insurance which you or your agent can provide to us.

Avoid Vehicle Repossession

If you allow your vehicle to be repossessed, it will be auctioned and you will owe the difference between your payoff and what they get in the auction. Generally, vehicles are auctioned for far less than they are worth. This system adds insult to injury in that you are asked to pay for a car you no longer have. Auto finance companies are sometimes very aggressive in collecting these deficiencies and seek judgements and wage garnishments to collect their money. In my opinion, it is smarter for many reasons to protect your vehicle with a Chapter 13 filing in Savannah or Hinesville than to let it be repossessed. A vehicle repossession can have horrible ramifications. Therefore, a consumer will want to do everything possible to avoid vehicle repossession. Auto loan borrowers should always keep close contact with the finance company. Many times, the consumer fails to contact the finance company and inform someone of the financial troubles. The finance company does not realize that the consumer intends to pay the debt when this occurs, and they schedule a repossession. Some of them would have been willing to work with the customers if the customers would have called to make arrangements. Once auto loan accounts go into repossession status, the consumer has to make a huge effort to keep the vehicle. A bankruptcy attorney in Savannah or Hinesville, GA can help someone to avoid vehicle repossession if his or her situation qualifies. 

Who Qualifies for Bankruptcy?

Bankruptcy is a legal status in which a consumer declares that he or she cannot afford to pay debts. A judge has to approve the status for creditors to consider the consumer bankrupt. A bankruptcy attorney can help a person to determine eligibility during an initial consultation. Individual consumers can qualify for a Chapter 7 or Chapter 13 bankruptcy in Savannah or Hinesville. Persons who qualify for Chapter 7 bankruptcy may not have to pay back any of their debts, including vehicle loans. The creditors would have to stop trying to collect the debts the moment the attorney files for bankruptcy for his or her clients. In other words, a person who is behind in car payments may be able to keep the vehicle if that person files for bankruptcy with the courts. 

A consumer might be able to keep a vehicle in a Chapter 13 bankruptcy, as well. A Chapter 13 bankruptcy ruling would require the consumer to pay back a percentage of his or her outstanding debt. The attorney would have to develop a repayment plan that the creditors will accept. The creditors may approve a repayment situation in which the debtor keeps the vehicle. 

Schedule a Free Lawyer Consultation Today in Savannah or Hinesville, GA

Contact us today at our office in Savannah or Hinesville, GA for a reliable bankruptcy attorney consultation. You may be able to hold on to a family vehicle with an attorney’s help.