If you have missed payments on a secured loan (such as a car loan) and you are working with a large financing company, you will most likely be contacted, either by phone or through the mail, and asked for the payment. Generally, a more drastic measure such as repossession is not undertaken until the debt is at least 60 days past due. Smaller car dealers on the other hand, may come out to attempt to repossess your car even if you are a week late on making regular payments.

Do not wait until it is too late. Find out how we can help you stop car repossession. Contact us online for experienced bankruptcy counsel at George R. Belche, Attorney at Law. Free initial consultations.

Keeping Your Car: The Automatic Stay

Filing for bankruptcy results in what is called an automatic stay. Unless the automatic stay is lifted by the court, collection agency actions such as repossessions or foreclosures cannot be undertaken. In addition to not being able to take your car or other property, creditors and debt collectors are forbidden to contact you and cannot make threatening, annoying phone calls to your home or office.

Important Considerations

While filing for personal bankruptcy can result in these benefits to debtors, there are several important factors to consider:

• Creditors may petition the bankruptcy court to lift the automatic stay and try to repossess property to meet the obligations of a secured debt.
• A car loan is a secured debt and cannot be discharged in a Chapter 7 bankruptcy filing unless you surrender the automobile.
• You may be able to keep your car without filing for bankruptcy if you reaffirm the loan, in other words, if you agree to pay the arrears and continue to make scheduled payments.
• If your car has already been repossessed, filing for bankruptcy is not a guarantee that you will get it back. The final decision is up to the lender. In some cases, you can get your vehicle back if you pay arrears and a repossession fee of $400.

Perhaps the most important consideration is choosing an attorney for you and your situation. If you live in the Atlanta area, make that choice George R. Belche, Attorney at Law.

Talk to an Atlanta Lawyer About Avoiding Car Repo

Get out from under the weight of financial pressure associated with collection and repossession actions. At the firm of George R. Belche, Attorney at Law, we can help you stop repossessions. We look forward to helping you through the bankruptcy process from beginning to end. Contact us today for a free initial consultation.

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