Yes. The interest rate is high. The only thing i was concerned about is in their contract it says if i dont make my payments that they will put a lock on my tire preventing me to drive it. Can they do that if i have them in my bankruptcy? I am on auto payments with them from my bank account still.
In Arizona it's called a title loan which is secured by a lien on the title. The borrower signs a loan contract just like any other car loan that probably gives the lender the right to repo the car if payments aren't made. The contract might even list bankruptcy as an act of default.
Once bankruptcy is filed with the court the automatic stay goes into effect and the lender is prohibited from taking any action while the bankruptcy is ongoing.
On the day you file your bankruptcy with the court, I suggest you immediately provide a copy of the filing and the automatic stay to the lender so they know not to do anything illegal.
Talk to your lawyer about whether to continue making payments. In bankruptcy you are not supposed to favor one creditor over others.
Again, talk to your lawyer so you don't make any mistakes.