Dumb question

[badkarma]

Hello Fellow Bk
Okay here's a dumb question...
when they say are you current on car and home payment would we answer yes?
House payment due on the 1st but usually can't pay till the 20th or 25th of month still within the 30 days of that month, so are we current or past due?
Same on the Car due on the 7th and we pay by the 17th or 21st
We are planning on filing Ch 7 and keeping house and car, will the lenders see this as bad and repo house and car?
we pay this way due to they all the other expenses we have ie. utilities,gas for auto,ins.....we have 4 kids so food is a must to buy

Thanks for any insight

[Minnymouth]

You are current as far as that payment being due - BUT LATE EACH MONTH MAKING THE PAYMENT....
Soooooooooooooo,
That doesn' look good either.
Anytime you pay a bill after the DUE DATE - it is still considered a late payment, but most companies will not report it too the Credit Bureau late unless its over 30 days past the due date.
If you plan on keeping your home/auto the payments need to be made on or before the due date.... otherwise you could have problems if you reaffirm on them.

[LuciluS]

Our house payment is due on the 1st of the month, but is not considered late until the 16th of the month. I pay it with my SSD check which is deposited into our account on the 2nd Wed. of every month.

Dh's truck payment is due on the 17th, but not late until the 27th. I have spoken with this loan company and they have reassured me that filing Chapter 7, next month, the reaffirmation papers will have the same stipulation and as long as it is paid by the 27th of each month, we are ok.

After I make the Sept. payment, I'm going to call and speak specifically with the Bankruptcy Department regarding the 10 day grace period. If they are not willing to keep the same stipulation, then they can come get the truck LOL!

I'm sure you are getting charged a late fee and those late fees can add up quickly. It would be in to your advantage, to change your budget to pay them on the day before the late charges are added & to confirm with the Bankruptcy Dept. of such.

Also, while in Bankruptcy, usually your mortgage and vehicle companies will have a different address for you to send your payments during the BK process. So when you make your last payment before your filing of BK, suggest you call, ask for the Bankruptcy Dept. and verify if their is a different address for payments while in bankruptcy.

O, btw, there is no dumb question(s) on this forum

[kenshirley]

And as it has not been addressed yet, if you file a BK they cannot take your car or home. It's against the law, it's called a stay in legal terms and it's in effect while your process is going on.
If you want to keep the house and car it's called reaffirming the loan which in most cases can be done. The court has to approve you keeping the items. If you are represented by an attorney they usually do this for you as a court officer as such.
In doing so he is stating that the house and/or car are not creating a burden for you.

[NewLifeAhead]

Just a note of caution: When you file, you need to stay current (pay before or on due date) on secured loans that you wish to keep (house, car, etc) otherwise the banks could file a motion of relief of stay if you have an aggressive bank. This means they could start the foreclosure (usually 90 days after last payment) or repossession processes before your bankruptcy completes. There was a recent thread here where the person was on a trip and came back after 1 1/2 weeks after the due date and found the bank's motion of relief of stay in the mail.

[badkarma]

Tx for the info! Maybe we need to call the utlility companies and arrange different due dates so that home and car is pd on due date then since everyhting is all due between the 1st and 10th of the month
Tx again