Surrendering a vehicle

[kydiv]

My car loan was not reaffirmed in my Chap 7 BK (which was filed under the new laws). I have continued to pay on the loan to keep the car. I am upside down in the loan by approximately $10K. At this point, I am wanting to get rid of the car and the payment - I just can't face four more years of $500/mo car payments. And the loan is listed in the BK papers as discharged, so I am not liable for any of it at this point.

To those who have surrendered vehicles - what's the process? Is there anything specific I need to tell the loan company, other than "come get it"?

[Minnymouth]

The car company will not notify you till after the 60 objection period..... they are not allowed too.................

In the mean time as long as the car is in your possession you must maintain it in good condition, keep insurance on it, etc......

As soon as your discharged, call them, make arrangements for them to pick it up....... then drop your insurance on it.......

Since you did not reaffirm, you will not be responsible for any balance due on it......

If your turning it in, I wouldn't make another payment on it.....

[kydiv]

Update

I was discharged in March of this year. Never got any notification from the loan company, in fact they're still reporting my payment history to credit bureaus. Loan is stated as discharged in my paperwork, though.

Is it okay to surrender after so long? Is that common? Or do most people surrender as quick as possible?

[SinkingFast]

There's no rhyme or reason to when people surrender vehicles.

Some people know right away they can't afford to keep their cars and surrender immediately.

Some people want to keep the car, but then the car developes mechanical issues that are too expensive to repair at a later date.

Some people realize later that they can't afford the car, and decide then to voluntarily return it to the Lender.

Different people have different needs and different situations. So don't worry that you didn't turn in the car immediately. You do what you gotta do. What's right for you.

[BassBoy]

Considering how upside you are, it may be a benefit to get rid of it. Do you have another vehicle you can use while you are saving up for another vehicle?

I waited about 3-1/2 months after my discharge to surrender my (needed to be repaired) vehicle and it was nothing. I called, said to come get it, and they came and got it. End of story.