Hi. I have a question that I hope someone can shed some light on. I had my car repossessed due to default on a title loan. We had already talked about filing bankruptcy before this happened, because we are in a HUGE debt trap. My question is this--If we file bankruptcy, can we get our car back? I've been looking around online for the answer to this question, but I've found conflicting information. I've tried talking to the company that I had the title loan through, and they told me the only way I can get my car back is by paying all the money I owe, plus interest and all fees. I've tried to see if I can borrow the money from my family, but they can't help me out. I am really starting to feel like there will never be light at the end of this dark and lonely tunnel, as this is just the latest thing that has happened in what I can only describe as the worst time in my life. But, if there is anyone out there that can shed some light on this for me, I would greatly appreciate it. Thanks so much for your time. ~Tiffiny
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You can pretty much kiss that car good-bye. The title loan company is essentially correct, you would have to pay back the loan (in full) at this point. Usually there is a redemption period, i.e. a number of days you have to redeem the car by paying off the note. You would need to research your own state's law to find out what the particular redemption period is for your state, but in most states its 30 days from the date of repo. After the redemption expires, you have not claim to the car whatsoever.
Assuming you are still within the redemption period, you might be able to file a chapter 13 BK (assuming you qualify). Since the loan was a non-purchase money security interest, you might be able to force return of the car if your chapter 13 plan pays the title accordingly. But, I think that would only be an option if you are still within the redemption period. Same goes for chapter 7, if you file chapter 7 (again, assuming you qualify), you would have to find someone willing to do a 722 redemption loan, but again, you would have to be within the redemption period.
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