Filing for bankruptcy can stop your car or truck from being repossessed
Having your car, truck, motorcycle, or other vehicle get repossessed can absolutely devastate life. If you are behind on bills and facing mounting debt already, losing your only means of transportation multiplies your problems exponentially. How will you get to work? Or get your kids to school? Or pick up necessities for your family? If your job requires you to have a vehicle, you may even lose your job.
If you have fallen behind on you vehicle payments, contact our experienced Richardson bankruptcy attorneys today for a free consultation. Our expert attorneys will explain all of our options, and if bankruptcy is the best path forward, we will help you file for bankruptcy and help you stop repossession – or get your repossessed vehicle back.
You are not alone – in fact, you would be surprised how many Richardson area residents are also struggling with overwhelming debt. Unfortunately, bad things happen to good people. It does not take much to fall behind on car payments, mortgage payments, and credit cards. One unexpected event can cause everything to spiral out of control – whether it’s an unexpected illness, loss of job, or even reduction in pay, most Americans are not far from uncontrollable debt situations.
Unfortunately, the lien holder on your vehicle will not usually care about your financial hardship. Sometimes your loan company might give you a small break, but in many cases, one small break is all you’ll get. Most loan companies don’t have a way to deal with individual problems on a case-by-case basis, so they are typically quick to send out the repo man when you miss a payment or two. If you are struggling financially, you should always call your loan company and see what they have to offer you. They may be able to allow you to pay interest only or split up a past-due payment over 60 days. All loan companies are different, so you might get lucky and be able to work something out.
Unfortunately, most loan companies don’t have any options for people who are only a few payments behind, so people who fall behind on their vehicle loans are not able to work anything out. Most importantly, your loan company does not really care about your situation. They want to get paid, or they want to repossess the vehicle and cut their losses.
Many vehicle loan lenders will become incredibly aggressive if you are even a few days late (especially if you have financed your car through the dealership instead of a traditional lender). In actuality, lenders have the right to repossess your car even if you are only one day late in making your payment. Even worse, if your car is repossessed and sold at auction, you will still be responsible for any deficit balance if the auction sale price doesn’t cover what you owe.
Stop repossession in Richardson
Like we said above, bad things happen to good people – that’s why the government created bankruptcy laws. If you file for a Chapter 13 bankruptcy, your lender will be required to stop any and all collection efforts while you catch up on your missed payments over a 3 to 5-year period. You will keep your vehicle and property, but more importantly, you will be free from the stress of collection calls and spiraling debt.
Filing bankruptcy of any kind will stop the repossession, but unless you file a reorganization or debt adjustment bankruptcy (called a Chapter 13 bankruptcy), you will eventually have to give up the vehicle.
Filing Chapter 7 bankruptcy might enable you to discharge any remaining loan deficiency if you want to – or have to – give up the vehicle that the creditor cannot auction for the full amount owed on the loan.
We can help you stop the Repo Man and keep your car
The experienced bankruptcy attorneys at Rubin & Associates can help you stop repossession and put you in control of your financial situation. If you are struggling financially and are in danger of losing your car or truck, bankruptcy may be the best option to save your vehicle when your lender won’t work with you. If you’re like most people in Richardson, your car is the only way you can get to work and get your kids to school. If your vehicle gets repossessed, you could lose a lot more than just your vehicle.
If you are behind on payments and are being threatened with repossession, call or text us immediately. The team at Rubin & Associates can help you stop repossession. If your vehicle has already been repossessed and sold at auction for less than the amount you owe, your lender will most likely sue you for the deficit balance owed. This is usually referred to as seeking a “deficiency judgment.” Filing bankruptcy can reduce or eliminate that debt.
Call or text Rubin & Associates today to schedule your free consultation. We are not like the other bankruptcy attorneys in town who treat clients like just another number – our team truly cares and wants to help. We will explain all available options so you can make the best choice to put you on a path to a fresh start.