Bankruptcy Stops Auto Repossessions in New Jersey
Losing a car to repossession can come as double shock. The first shock comes when you leave your workplace (or home) and see your car is gone. The second comes when you find out you still owe money on the auto loan.
At the law offices of Oliver & Legg, our lawyers offer a free initial consultation to discuss your options if your car has been repossessed.
You can stop car repossessions. Call 732-988-1500 for a free bankruptcy consultation in Monmouth or Ocean counties.
Am I Still Responsible for Auto Loans if The Car Is Repossessed?
When your car is repossessed, the auto finance company will sell your car at auction. If your car sells for less than the outstanding loan, you are responsible for the difference. The bank or finance company can obtain a judgment against you and garnish your wages to repay the debt.
However, once your car has been repossessed the outstanding loan is unsecured and can be discharged by filing bankruptcy.
Can I Get My Car Back?
You can put an immediate stop to a car repossession by filing Chapter 13 bankruptcy or Chapter 7 bankruptcy. If the car has not been sold, you can get it back as long as it is insured.
If you have owned the car for more than 2.5 years, you will only have to pay back the value of the car if you file Chapter 13 bankruptcy. Our lawyers can strip the unsecured portion of the loan (the portion exceeding the current value of your car).
Free Attorney Consultation About Stopping A Car Repossession
With offices in Toms River and Neptune City, New Jersey, our lawyers are ready to answer your questions about auto repossession. Evening and Saturday appointments are available. Call local: 732-988-1500 or fill out our contact form.