The repo man is one of the best reasons to see a bankruptcy lawyer. I have run into two situations lately that deserve comment here. The first involved a former client. I did two chapter 13 cases, the last of which he converted to chapter 7. He had the same motorcycle through both cases. He dropped by the office to say they were trying to repo his Harley.
To keep the wheels you need to keep paying the loan
I have stunning news for you. A chapter 7 bankruptcy will discharge your obligation to pay any secured debt like a car or motorcycle loan. If you want to keep the vehicle you must pay for it, or…get ready for this…. they will come to get the collateral. That means day or night; the repo man is on the hunt for your wheels.
Their job is to get possession of the vehicle so that the lien holder can sell it to recover any value it may have. End of story. Or is it the end? That brings me to another client. She was about to file chapter 13. She stopped paying on the loan because the trustee will pay it in the plan. That’s okay. She just stopped a little early. The boys with the hook were on her trail.
Get copies of any documents the repo man flashes
In her case the repo man actually confronted her. He said he had a court order for her to give up the vehicle. She called me. I checked the courts. There is still no order. I told her to get this “official” document. She gave up the car. When I asked her for the document I told her to get she said, “I didn’t take it but I copied down the information.”
There is a reason I advise people to do things. A repo man is a debt collector. He is bound to follow the fair debt collection practices law. It is forbidden to use a fake official document to perform a collect a debt. Had she obtained the bogus court order as I told her to she would have had a very strong claim for damages and attorney fees.
All that happened was that I had the dealer return the car after he spent a bit of quality time and money with his attorney to learn the penalties of refusing to follow the automatic stay in a chapter 13 bankruptcy case. This client’s experience should have been so much more, but the failure to get the paperwork leaves a repo man to continue cheating, violating the law, and harming the public.
Now what is a xantusiidae, and what does it have to do with the repo man? Xantusiidae is a night lizard. What better way to characterize a repo man working throughout the day and into the night to grab your wheels?
Other attorneys participating in the bankruptcy alphabet game:
- Omaha and Lincoln, Nebraska Bankruptcy Attorney, Ryan D. Caldwell
- Bay Area Bankruptcy Lawyer Cathy Moran
- Maui Bankruptcy Lawyer, BankruptcyHI.com
- Jay S. Fleischman, New York bankruptcy lawyer