Chapter 7 Car Situation

[Thirdbase7]

Ok, first I'd just like to say there's a lot of great information on here, and I have seen similar situations like mine on here but I just wanna break it down to try to get some input.

I filed Ch7 10/16 and have decided to surrender my vehicle in the bankruptcy.

I owe about $11,000 and it's worth about $9,500. I am currently 2 months behind which is a payment of $662, which I don't have to get current to reaffirm. There is also about $400-600 in service which needs to be done as well.

So next I'm concerned about what the timeline is for lifting the stay and when the bank is actually gonna take the vehicle. My discharge should be in the middle of January. I've talked to some local dealers and pretty much they don't wanna do anything til the discharge happens. So that puts me at about a month and a half in question.

Anyone know the average time it takes for the bank to lift the stay and come and get it?

Also can I co-sign(not primary) on a car with the bankruptcy still open, or do I still need to get the courts approval? Thanks.

[BassBoy]

Once you are in default, which I believe is 90 days with auto loans, but may be 60 days, the lender will file a motion to have a hearing to lift the stay. This is just a motion filed and the actually hearing may not be for a month or longer. More then likely, the lender will have the motion granted to lift the stay and you could have the car repo'd shortly afterwards......maybe within 30 days. I suggest you pay close attention to any documents you receive about this creditor and keep tabs on the dates. You may make it until after your discharge.

Almost all car dealers will not work with anyone in active BK. You're not supposed to take on any new debt while in active BK, which is why the car dealers want to see the discharge. That said, if you're able to hang on to your vehicle until after your discharge, you have better chances of getting another car afterwards.

Good luck to you.