Can You Get Your Repossessed Car Back?
Your car is a valuable tool necessary to commute to work, complete errands and care for your family. If your vehicle has been repossessed, you may not be aware of your options. When repossession has recently occurred, Christman & Fascetta LLC may be able to help you reclaim your car by filing for bankruptcy. While many Maryland residents assume that bankruptcy would strip them of their assets, it can actually be a valuable tool for protecting assets, halting creditor calls and regaining financial control.
Taking Immediate Action Is Key
Once your car is repossessed, your lender will sell the automobile at auction to recoup their losses. Under Maryland law, they are required to send you notice of the auction date. If you are hoping to recover your automobile, you should take action before the sale. After the vehicle is sold, the probability of reclaiming your automobile substantially lowers.
How Can Filing For Bankruptcy Help?
If you file for bankruptcy and hold nonexempt equity in your vehicle, it is considered part of your bankruptcy estate. Therefore, the lender may not sell your car at auction and must return the repossessed vehicle to the estate. Otherwise, the repossession would be considered an illegal creditor preference. Our experienced lawyers can help you determine your level of equity and petition the courts for its return.
Once the car is back in your possession, you will need to redeem the car by paying the lender the amount of the car’s replacement value or reaffirming the car debt. In many cases, the replacement value will be less than the loan balance owed. If you reaffirm the debt, you will set new payment terms with your lender, but you must be willing and able to pay off the debts. Reaffirmed debts cannot be discharged during bankruptcy, and you would be responsible for the balance.
Contact Our Firm For Assistance
If your car has been repossessed, let our experienced legal team help you regain your vehicle. Call our main office in Towson at to schedule your free initial consultation, or email us today. We are available for assistance 24 hours a day. We can evaluate your circumstances to help you pursue bankruptcy and stop creditor calls.
We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.