Confused

[okracefan]

I had 2 vehicles financed thru a Credit Union and both loans were paid off on April 1, 09 as per Chp 13 payment plan. I am hearing that the CU may not release the leins due to having an unsecured loan from them listed in the BK.

Can the CU do this since the car loans were secured. We have recieved authorization to incure new debt for newer vehicle (under $10K) but I need to use one of these cars as a trade in on a newer car. As far as I now there were no guidelines set by the court as to what kind of car and how much of a payment.

Also if I decide to keep the older cars will they become an "asset" and possibly be sold by the trustee? All My Bk attorney is telling me is to wait for for the lein release.

thanks

[AngelinaCatHub]

Well, unless you reaffirmed your CU loans, this may be true. They "cross collateralize" your loans. I reaffirmed and made my last payment on my car, but I had maxed my overdraft loan. I got my Title and never asked for it nor expected it. However, I am responsible for that O.D. loan as I reaffirmed. 'Hub