The bank isn't being very helpful

[madeia98]

So I am working with an attorney to file C7 in March. I have some BT's I have to distance myself from. He suggested I turn my auto in and get a cheaper one. Well the bank called when I missed a payment. I asked to surrender it and they said they would have to call me back becasue it's a credit union in MD and I am now in FL. Today they called and said it's not worth it to them to pick it up and to take it to carmax to see what they will give me and that I am still going to be responsible for the balance even after I file for BK? I told them I was going to drop insurance and park it on the street to call their bluff but they didn't care. Is their anything else I can do short of taking it back to MD and dropping it off to them or am I going to have to wait for the BK to go through before they will come for it?

[TEW]

No after you file you will not be responsible for the balance sounds like they are calling your bluff a little. If the car is not worth it for them to repo maybe the will send you the title.

[coloradomrg]

They'll work with you to get their collateral back once they know your serious.

Taking it to Carmax won't work unless they will buy it for what you owe or more, because Carmax won't take it AND it's negative equity. You would need a check to cover that.

Drive it until they come get it Save some $$ for that day and go buy something with cash if you can!

[StartingOver08]

Wow...they must be hearing from a lot of their customers about "eating steel!" They have even come up with an answer for you - not to help you, but to call your bluff as TEW pointed out.

Since you are going to file, just do as the others have posted - continue to drive the car without payment. If you do not want a repo on your record, you may want to pay until just before filing in Mar - then you get the 60 to 90 days after filing without payment (maybe even 120 days) while you are in the automatic stay period. That way when you surrender the car, no repo shows on your CR.

Do not call the company to surrender until the day you want to surrender. I have read other posters where it took the lender a long time to pick up. Mine was picked up in 4 days from the date of my phone call - they would have picked it up earlier but I needed to get a vehicle first - so be careful, each lender is different.

[madeia98]

Well the funny thing is that I worked for Carmax for over 4 years, if they dug into my file they would see that. I know that my truck isnt work the 14K I owe or anywhere near. I did what my atty said and bought another car with my mom as cosigner because it was a cheaper payment. But now I am stuck insuring what sitting in my communitys truck parking zone and driving my newer car. I just wanted the truck gone so no double insurance payments but no such luck.
They claimed my truck is only worth 4K so I figured I would ask my atty to see if they would maybe do a buyout for that amount and sell it to a family member for the same so nothnig on my name and no profit. Has anyone ever done this?

[StartingOver08]

Well, did you ask the CU if you could do a redemption? That is where they cramdown the value to todays market value and the CU eats the rest. That is what you are describing in your last post, more or less. You have to own the vehicle for at least 910 days. If you have a relative that wants the truck for the cramdown value then approach the CU about the redemption. Otherwise, just surrender. Don't know how you can get them to pick it up....my lender called a transport company to haul my vehicle from Fl to Tenn right away. Don't know why your CU wouldn't do the same.