Repo Timeline Interesting Question

[bk442]

My Girlfriend's ex husband filed BK about a month ago or so. My GF will be filing soon as well. She wants to hang on to her car as long as possible in order to save up enough for another car. Since the EX filed, the automatic stay is now in place since they were both on the loan. So my question is this: If ford files for relief from stay on the ex husband, and tries to come get the car, and then she files shortly after, does her new automatic stay come into play? Would they have to file yet another motion to be able to come get it?

She wants to file with the right timing so that she can hang on to it as long as possible.

Thanks

[MSbklawyer]

You said they were both on the loan, but how is the car titled? If it's titled only in her name, then the car is not 'property of the estate' in her X's bankruptcy and the creditor would not need to get relief from the stay to come get it. Conversely, if the car is only titled in his name, the the car won't be property of her bankruptcy estate and no relief from her stay will be needed. But if it's titled in both of their names, then yes, the creditor will need relief from both stays.

[bk442]

You said they were both on the loan, but how is the car titled? If it's titled only in her name, then the car is not 'property of the estate' in her X's bankruptcy and the creditor would not need to get relief from the stay to come get it. Conversely, if the car is only titled in his name, the the car won't be property of her bankruptcy estate and no relief from her stay will be needed. But if it's titled in both of their names, then yes, the creditor will need relief from both stays.

Thanks for the help. Yes the car is titled in both of their names. The EX just had his 341. Nothing showing up on him on pacer about relief from stay or anything. Going to keep an eye on it.

[Brazzy]

As long as the payments remain current you will not have any issues. Typically whoever maintains the account for the creditor will not be too pushy with this loan because they have a non filer. As long as they have someone on the hook for the loan they dont really care. Even if the loan were to run past due most creditors would opt to wait for the case to discharge and for the trustee to abandon interest before doing anything. So sense in rushing into anything and wasting time and money while they still have someone who would be responsible for a deficiency balance and repo fees. The protocol for most creditors would be to not bother an account with a non filer on it unless the account balance is high, the collateral is of high value, the collateral is in danger, and/or the account is seriously delinquent. Otherwise they will wait it out.

[bk442]

You said they were both on the loan, but how is the car titled? If it's titled only in her name, then the car is not 'property of the estate' in her X's bankruptcy and the creditor would not need to get relief from the stay to come get it. Conversely, if the car is only titled in his name, the the car won't be property of her bankruptcy estate and no relief from her stay will be needed. But if it's titled in both of their names, then yes, the creditor will need relief from both stays.

Thought I would update this thread for those interested. Ex husbands BK was discharged on 6-23. They came on 7-1 to my GF's house and tried to repo it. She pleaded and the repo man took $100 and wrote that she wasn't home. Why do girls get away with stuff like that lol. Anyway she plans to file tomorrow. Repo people have been by there twice since then but it was locked in the garage. She has no other transportation. Hopefully she will get another 30-60 days at least by filing. She needs just a little more time to have enough get a decent running car. Ford credit never filed a relief of stay on the EX during his BK but might with her. We'll see. Stay tuned

[justbroke]

Repo people have been by there twice since then but it was locked in the garage.

Yeah, they heard they can get $100 for a "not home". LOL

I will never understand the repo man game. Eventually, they get the car. If she is trying to cure arrears in a Chapter 13, that's one thing. However, if it's a Chapter 7 and it's FMC (Ford Motor Credit), expect a very quick Motion for Relief and a repossession. Could be as quick as 3-4 weeks from filing.

However, it's more likely that the repo man will get the car before filing, unless she's filing... yesterday.

[bk442]

Yeah, they heard they can get $100 for a "not home". LOL

I will never understand the repo man game. Eventually, they get the car. If she is trying to cure arrears in a Chapter 13, that's one thing. However, if it's a Chapter 7 and it's FMC (Ford Motor Credit), expect a very quick Motion for Relief and a repossession. Could be as quick as 3-4 weeks from filing.

However, it's more likely that the repo man will get the car before filing, unless she's filing... yesterday.

Well they never filed a motion of relief from the ex. Maybe cause they knew they had her on the hook for the loan. She is filing today. She is just trying to buy time, already knows it has to go. More time = more saved for a newish clunker :-)

[mrskal]

Maybe I missed something, did they stop making payments on the car? I plan on not reaffirming my ford, but still make payments, for a while at least. They wont come get the car will they?

[justbroke]

Maybe I missed something, did they stop making payments on the car? I plan on not reaffirming my ford, but still make payments, for a while at least. They wont come get the car will they?

Unfortunately FMC usually requires a reaffirmation in order to keep the car. Even if your payments are on time and current. They are attempting to insulate and protect themselves from exactly what you're contemplating.

[mrskal]

Unfortunately FMC usually requires a reaffirmation in order to keep the car. Even if your payments are on time and current. They are attempting to insulate and protect themselves from exactly what you're contemplating.

Totally makes sense, I understand. Now I have to rethink my plan! Darn, just when you have it all figured out.......

[justbroke]

Let me add that I don't know where I came up with FMC just because you indicated you had a Ford. I'm speaking about Ford Motor Credit (FMC). They are notorious for wanting a reaffirmation and the caselaw supports this (especially in Florida, Alabama and Georgia -- 11th Circuit).

Your District may allow ride throughs on cars.

[mrskal]

It most certainly is FMC, and I am in Illinois, northern district. Any way to look anything up about them? My work van, which is the main thing, and a car that I could take or leave, about $500-1000 underwater on it. Thank you for your help. The thing with the work van, I still dont get, is it is listed with FMC as a business purchase, not on credit reports, but registered in out personal name, so lawyer said I have to list it. I just dont want to sign to keep it, as I am moving and not sure my business will take off where I go. I certainly think it will, but you never know.

[bk442]

Well they never filed a motion of relief from the ex. Maybe cause they knew they had her on the hook for the loan. She is filing today. She is just trying to buy time, already knows it has to go. More time = more saved for a newish clunker :-)

Well she has filed and no more repo men have been coming around. Last payment on the car was March or April I think. Well see if they file a relief from stay. As I said earlier, the husband filed and she stopped paying around the same time as his filing. They never filed a RFS. She is getting close to having enough for another decent car. Just trying to get as much time as possible.

[justbroke]

Well, best wishes to her and her bankruptcy.

[mrskal]

Just broke, is there a way to look up what goes on in my district like you said in the above post? How do you look up case law? Thanks