how can we avoid an auto reposession?

My husband and I recently moved from Iowa to Florida so he could accept a new job. He had previously been out of work for 8 months and we had fallen behind in all of our bills. We managed to sell our home but it has only been 6 weeks and haven't cought up on our auto payments and they want to reposess it right now. We don't want to file chapter 13, we just want to catch up and continue with the loan. We only have this auto payment now, rent and two credit cards so we feel bankruptcy would be a bad move, especially if we can pay the bills in full on our own. Is there any way we can buy some time to catch up?

Sidney -

You are doing all the right stuff -- that is attempting to work with creditors so that you can get yourselves back on your feet. Don't know the law in your state but in some cases, the creditor would have to go to court to get the car back. That would buy you some time. If they are hell bent on repossessing, even though you are trying to workout by at least paying them something, bankruptcy may be the only alternative. Remember though that creditors do not want the property, they want the money. so try to pay whatever you can to hold them off, even if it means missing some payments on other bills.

Law on, Kevin


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Kevin O'Keefe
Founder & Fearless Community Leader
[url="http://www.prairielaw.com"]Prairielaw.com[/url]
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