Below are a few reasons to trust Collateral Bankruptcy Services, LLC.
By Justin Harelik Published June 28, 2011 Features Bankrate.com
The below is an excerpt from a Q&A Session was published on Fox Business regarding the problems (and potential solutions) surrounding a consumer’s attempts to surrender an automobile incident to a Bankruptcy.
Dear Bankruptcy Adviser,
I was forced to file Chapter 7 bankruptcy. I agreed to surrender my vehicle. After my Chapter 7 was discharged, I naturally expected my car to be picked up by the lender. It has now been three months. Is there a required amount of time in which they have to pick it up? I have made many calls about this to my lender. Not one call has been returned. Isn't there something in the law that states they have a time limit to pick up the car, or else release the title to me?
Collateral Bankruptcy Services, LLC is a company created to specifically address this problem and make it so that you or your client do not have to face and make illogical, tough, costly decisions like the debtor and his attorney were forced to make below.
Unfortunately, there is a growing problem of lenders that are refusing to take possession of vehicles surrendered in bankruptcy. We see this not only with motor vehicles but we are also seeing this occasionally in real estate. Because of low values some lenders are unwilling to foreclose to the detriment of the neighborhood. The lender simply finds the cost of paying maintenance, insurance, and back taxes exceed the value of the home.
The debtors knew it was bad; but they had no idea it was coming to the point where creditors are passively refusing to pick up vehicles which have been surrendered in bankruptcy. What's happening? Post-bankruptcy debtors are finding that cars, motorcycles, ATVs, jet skis and recreational vehicles which they have surrendered in bankruptcy are not being taken back by lenders in a timely fashion. Why? Quite simply, the lien holders don't want them.
Did you know that you can easily surrender your car in a Chapter 7 bankruptcy? You can escape high loan payments, punishing interest, and avoid deficiency lawsuits.
If you lease or finance a car and attempt to surrender the car outside of bankruptcy, your lender will likely charge you all sorts of fees. Many times, a lender will sue a borrower for the deficiency balance” of the loan.