Bankruptcy question

[Amegail]

What is the name of your state (only U.S. law)? MD
My car was repossessed in April and I owe money that i really dont have to offer. I also have a debt to citi financial that I would like to claim in bankruptcy. I do not own a house, and have no other debts (that I know of) that need to be claimed. Can these be covered under bankruptcy?

[JETX]

Originally Posted by Amegail

Can these be covered under bankruptcy?

More than likely. However, bankruptcy can have a fairly extensive impact on your future and is NOT something to be taken lightly.
Talk with a local bankruptcy attorney.

[Amegail]

Thanks...My credit sucks as is, which is why I wasn't too pressed about claiming bankruptcy.

[haplesshome45]

You did not say how big your debt was to citi financial. Considering their financial problems these days, I rather suspect that they are not going to enjoy yet another USBC filing in which they recover zero. Go to them and lay your cards on the table. Offer a settlement amount and a payment plan on the settlement amount, and tell them up front that it is an all-or-nothing situation: either they accept the proposal, or you go file your USBC Petition. If you are reasonably polite about it you may well be able to settle the debt for swome small sum, like 6 pennies on the dollar.

That is assuming that citi has not sold off your debt to a third party. These banks routinely sell off defaulted loans.

Are the car people looking for a deficiency from you? You have to factor all these things in. remember: the lenders are just looking for some cash. "some" cash is always better than "no" cash.