How to Avoid Car Repossession
A repossession can happen without warning, as long as the car is in a public place, on the street, or even in the driveway of a private home.
When the repossession occurs, it’s still possible to file for bankruptcy and get the vehicle back. However, the date that you have to beat is the auction date for the vehicle. Unfortunately, you may not know the day of the auction and so it’s advisable to ensure that you file for bankruptcy before the car is repossessed.
If you want to save the vehicle, you should file a chapter 13 bankruptcy. If you file a chapter 13 bankruptcy, you can force a creditor to take payments for the vehicle over the course of three to five years.
Upon filing a chapter 13 bankruptcy, you won’t make a car payment anymore, but you’ll make all of your payments through the appointed chapter 13 trustee.
When you file a bankruptcy, the automatic stay goes into effect and that’s a very powerful law that, among other things, means that your car can’t be repossessed anymore.
If you have questions on how to stop a repossession using a bankruptcy, reach out to Mark Shayani of Pacific Attorney Group and ask for a free consultation.