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End of Auto Lease Options after Discharge?

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    End of Auto Lease Options after Discharge?

    Hi everyone,
    I filed Ch 7 and was discharged in March 2010. I did not reaffirm my auto lease and it was discharged. However, I have been making payments on time and was never asked to surrender the car. I am in California.
    My question is whether I can keep making the monthly payments after the lease ends. Payments are quite low and I like the car. Will they bother to repossess if they are still being paid on time? I assume we no longer have a contract but they do have a lein on the car. Eventually I will turn it in, but perhaps not for several years if I have that option.
    Thanks in advance for any advice.

    #2
    My guess is they will act as if the contract ended just like they would if you hadnt filed BK. That usually means either turn it in, or purchase it for the residual price listed in the contract. Of course you can try and negotiate with them for a better price and payment if you want? Who knows whether they will go for it.

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      #3
      If the contract is completed, then you will need to adhere to the terms and conditions in the contract. That may call for you to buyout the remaining value or otherwise purchase the vehicle.
      Chapter 7 (No Asset/Non-Consumer) Filed (Pro Se) 7/08 (converted from Chapter 13 - 2/10)
      Status: (Auto) Discharged and Closed! 5/10
      Visit My BKForum Blog: justbroke's Blog

      Any advice provided is not legal advice, but simply the musings of a fellow bankrupt.

      Comment

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