Anyone turned in there car and had a balance in there chap 13

[253BK]

Hey guys and gals I have a car I just gave back and thinking of giving the other one up due to high payments! On both there will be a balance after the car is sold since they were newer. Did anyone else do this if so how did the trustee handle it? Did they pay the whole amount or was it cut down???

Thanks for your help everyone!

[COrnguy]

I did.....

and I was "upside-down", owing more than it was worth. Mine was actually a lease. They'll sell it and the difference is usually added to the other unsecured credit.

From what I understand, it'll look really bad on your credit report.

[rrockinggramma]

I did that with Drive Financial. We had a 2003 Pontiac Grand Prix (nice car) and in 04 my now ex surprised me with divorce papers. He and I both needed vehicles so when I refiled my chapter 13, I included this car. I had another car in the plan already and the attorney told me only 1 car allowed for 1 person. Well my ex gave the car back, cause he wanted a truck. Drive filed all kinds of motions to lift the stay and then withdrew them etc and they filed a motion to lift the co debtor stay etc. But after all their back and forth, never filed any claims for deficiency. I saw on my credit report that it is about 2000.00 and of course I have recently disputed that as IIB/zero balance. But they never filed a claim when all was said and done.

[253BK]

OK that all helps! Mine is alittle worse bought car for 100K worth maybe 70K well it broke down the first week NO KIDDING! That is when I gave it back and had just missed my first house payment!

I am in real estate and we all know the market is bad! Well I lost 4 deals that first bad month which is why I am here and it has been downhill since!

If anyone else has any info on this topic please post! Thanks again

[MajorMike]

you bought a 100k car???

[253BK]

Very long story! We traded in a car and bought something else WELL the ealer forgot to pay off our trae andwe ended up with three cars which we didnt need!

I was making 12-15K monthly and this 100K car would take both cars in as trade and get us down o 2 cars so I said ok let do it! Well 3months later I have little income since th real estate market has died!

Anyways we gave the car back gmac sold it now we will owethe balance in our chap 13 just another debt right LOL oh well!

On to my fresh start!

[253BK]

Does anyone nkow how the trustee looks at these balances from cars that are turned in??? I figured they would go in as unserured debt but this would be close to 60K I really dont see the trustee giving GMAC 60K for something that sold at auction for 70K

Anyone have any input on this???