Repo or Bankruptcy?

[dws613]

What is the name of your state? Arizona

Which is worse? I am sure bankruptcy is, but how much worse? How would a repo affect me vs. a bankruptcy. What if I try to file chapter 13 and they think I make enough to not need it? How much worse is a chapter 7 vs. a chapter 13?

How far into my finances will they go to find out where cash advance money went? If I buy a cheap car with money from a cash advance on my credit card will they trace it and repo the car?

Thanks in advance...

 

[djohnson]

What is the name of your state? Arizona

Which is worse? I am sure bankruptcy is, but how much worse? How would a repo affect me vs. a bankruptcy. What if I try to file chapter 13 and they think I make enough to not need it? How much worse is a chapter 7 vs. a chapter 13?"

***A chpater 13 is usually easier to obtain than a 7. A 13 you pay back a 7 you don't. You do realize even with a repo that any money left still due plus the fees that will be extremely high, will still be your responsibility to pay and they will sue you for them. Most people end up in a bankruptcy after a repo anyway.

How far into my finances will they go to find out where cash advance money went? If I buy a cheap car with money from a cash advance on my credit card will they trace it and repo the car?"


*****They will go atleast 3 months, maybe more. You would have to wait that long to file after a major cash advance. It could cause you problems otherwise. It's not reccommended to do this.


*****Why not just take the cash advance and pay for the car you have now?

Thanks in advance...

. .

 

[dws613]

I thought the point of a repo was that they (the bank) would take their property (the car) back and sell it to get their money. I don't see the point in a repo if you will just have to pay it back anyway.

I can't cash advance for the car I have now because the loan is $13,700 (I don't have that much cash advancable credit).

 

[djohnson]

That's not the way repo's work let say you have a car you owe 12,000 on and it's worth 10,000 you let it be repo'd and they sell it at auction for 7,000. Now you already owe 5,000, then they will add the auction costs say 250.00, then the repo cost say 500.00. Plus their paperwork fees and cost say 250.00, now you are up to 6,000. That is on the light side too, they will have more fees. The repo thing never works out to the benefit of the debtor. Many times then it leads to bankruptcy anyway because they get judgment for that 6,000 and garnish wages or assets. Repo isn't ever a good idea.