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  1. #1
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    Feb 2007
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    Default Voluntary auto repo after discharge

    California venue:

    Our Chapter 7 was discharged in May '05. We never signed a reaffirmation agreement for (2) vehicles we had previously financed with Ford Motor Credit. We have been making the monthly payments on both cars since filing. Neither vehicle is being reported to the (3) credit bureaus since we filed and our credit reports show both auto loans as "included in bankruptcy." We are interested in turning in one of the cars back over to Ford as a "voluntary repo." If we do this, can Ford come after us for any damages or are we protected under the Chapter 7 and the fact that this debt is included in the bankruptcy? How do we turn the vehicle back over to Ford? Thank you for any assistance.

  2. #2
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    Default Re: Voluntary auto repo after discharge

    So....Is anybody going to answer this question?

  3. #3
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    Default Re: Voluntary auto repo after discharge

    Quote Quoting Rocketman69
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    So....Is anybody going to answer this question?
    I would love to, but sadly I do not know anything about bankruptcy law. I know a bit about repo, since its a part of my daily life, but your situation is a bit more complicated.

  4. #4
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    Default Re: Voluntary auto repo after discharge

    Just so you know, a lot of people get turned off from answering a question when somebody acts like we have some sort of duty to offer free help on their schedule. You waited less than twelve hours overnight before you started nagging at us.

    Call Ford and ask where they want you to drop the cars off. The discharge should be the end of any financial obligation or credit report entries.

  5. #5
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    Default Re: Voluntary auto repo after discharge

    Thank you very much Mrknowitall for responding and for your advice. I have been adequately "spanked" and I sat in the corner for a good 5 minutes for my bad behavior. Please forgive my bombasticness and impatience.

  6. #6
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    Default Re: Voluntary auto repo after discharge

    You need to see your attorney. The cars were "included" in the ch 7, but you made payments with no agreement to Ford. Sounds strange that Ford would stay silent. They can come after you for the difference in the book value -vs-the value they claim to have received. THAT debt, being incurred after your 7you would be liable for. PLUS you now open up why you took the 7 and made both payments for convenience, but now its inconvenient and you want to give it back. It costs them very little to come after you regardless..., on the otherhand you stand to incure another debt.

    Other choices: Sell the car-pay it off. Trade both in for a new one.

    There is no clear yes/no answer. It would take far less than 1 car note to get a legal opinion with the lawyer that handled the 7 in the first place. This is not an area to gamble with, waiting to get a response you want to hear.

  7. #7
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    Default Re: Voluntary auto repo after discharge

    Quote Quoting Little Joe
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    They can come after you for the difference in the book value -vs-the value they claim to have received. THAT debt, being incurred after your 7you would be liable for. PLUS you now open up why you took the 7 and made both payments for convenience, but now its inconvenient and you want to give it back.
    Says who? The creditor could have repoed the car had it chosen to do so.
    Quote Quoting Little Joe
    Other choices: Sell the car-pay it off. Trade both in for a new one.
    Note that they don't have clear title.

  8. #8
    Join Date
    Feb 2007
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    Default Re: Voluntary auto repo after discharge

    Mrknowitall was right.

    I called the Ford Motor Credit Bankruptcy Division and they said I can turn in one or both cars. I confirmed there is not a reaffirmation agreement on file for either vehicle. Once we filed the Chapter 7, Ford cut off all communication with us and only the Bankruptcy Division would talk to us (opposed to regular customer service) when we called Ford. Ford confirmed the debts are "discharged" and stated that they cannot take any further recourse nor place any additional info on our credit reports if we turn in one or both vehicles. I am keeping one as it has 0% financing and less than two years to pay off. I confirmed with Ford that as long as I keep making the monthly payments as scheduled, Ford will not take any action and they will send the title once the vehicle is paid off. I am turning in the other vehicle at the end of the month. Ford requested we call them and they will tow the car from the place of our chosing at no charge. They said the dealerships are notorious for losing keys and also misplacing cars that are turned in and they would prefer to pick the vehicle up.

    Thanks for the help.

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