Hi all, I have been lurking for a while but figured I would chime in on this topic.
We bought a new car two months before we filed 13. We were previously in a lease that had 13 months left on it and we were over the miles by quite a bit, so we were fearful of what we would have to deal with when the lease ended. We had no intentions of including the car in our plan, however our attorney wanted us to include it so that we wouldn't have to pay the negative equity that we had rolled into the loan. Basically we would only pay for what the car cost, and not the overage we rolled in or the gap insurance we got. We didn't feel right about it, but he convinced us by giving us a spill about how we needed to look out for ourselves and that if we were going to go through bk that we needed to do everything we could to alleviate any debts or holes we had gotten ourselves into.
On Friday, Bank of America filed an objection to plan confirmation, an objection to valuation of collateral and a notice of appearance. Our 341 is tomorrow and I am a little nervous. I have done some research into our judge and he has written several opinions and sided favorably for the debtor in all cases that resemble what we are trying to do, however this is still unchartered territory for us and I am not sure what will happen. Does something like this end up in a hearing or does a Trustee have the authority to handle it?
I will give a 341 update when I have one. FWIW I am in NC.
We bought a new car two months before we filed 13. We were previously in a lease that had 13 months left on it and we were over the miles by quite a bit, so we were fearful of what we would have to deal with when the lease ended. We had no intentions of including the car in our plan, however our attorney wanted us to include it so that we wouldn't have to pay the negative equity that we had rolled into the loan. Basically we would only pay for what the car cost, and not the overage we rolled in or the gap insurance we got. We didn't feel right about it, but he convinced us by giving us a spill about how we needed to look out for ourselves and that if we were going to go through bk that we needed to do everything we could to alleviate any debts or holes we had gotten ourselves into.
On Friday, Bank of America filed an objection to plan confirmation, an objection to valuation of collateral and a notice of appearance. Our 341 is tomorrow and I am a little nervous. I have done some research into our judge and he has written several opinions and sided favorably for the debtor in all cases that resemble what we are trying to do, however this is still unchartered territory for us and I am not sure what will happen. Does something like this end up in a hearing or does a Trustee have the authority to handle it?
I will give a 341 update when I have one. FWIW I am in NC.
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