Expert: Ontrack Financial Group llc - 6/17/2009

Question
My wife and I just got through chapter 7 bankruptcy after the company I worked for for 20 yrs. closed.

We had just built a home (2 yrs prior) and had the standard way to much debt... but we were doing "OK".. Then my employer closed...  I was looking for work in my home area but Western NY state is not good at all.

Found work in Virginia, Moved down and of course had the NY home for sale... By the grace of god got it sold before foreclosure auction. But still had the CC and home equity debt. so we filed chapter 7 in the fall of 2008 and our bankruptcy was finalized this last February(2009).

We had purchased a Kia Minivan once we got down to VA as our old minivan was getting way up there in miles. The new van was financed by Drive Financial. We kept the van through the bankruptcy. And were trying to pay for it.

As the bankruptcy was wraping up my wife had a cancer scare
and the med bills came in.

so we had missed a car payment. with the stress of the scare she did not realize that when she paid a payment it was actually being applied to the month prior.

Then we had some other expenses and we slipped to what we thought was a total of almost 3 months late. But it was actually 4.

this last Monday with no communication they repo'ed the van. We asked why we had not received any statements after the bankruptcy was final, that would have tipped us off that we were 1 month worse than we thought.... they had No good reason.

Now my question is how do I decide whether to let them auction the car and get a deficiency judgment OR pay Pay Pay to get the car back.

 I am interested in the lowest cost solution as my credit is destroyed for 10 yrs anyway with the bankruptcy. We are talking a deficiency of $ 12,000 to $ 16,000 most likely

What is the max percent they can garnish in Virginia ?

is that from Gross pay or Net ??

what is the timeline to pay the deficiency judgment ?
    1 year 2 years ???

can they seize my bank checking account ??

I do NOT have any savings or property (after the chapter 7)

We need to know before this Friday 6/19 as we were
prepared to give them $ 1,300 of the $ 3.300 that they want to get the car back  (I am sure it will be more as the "storage" fees are not included) and they are moving the car again today.

Answer
Dear Eric,

Thank you for your question.

We're sorry you had to leave WNY.

Even if they repo the car, chances are slim they will file a judgment for the deficient balance.  

If you need assistance call me @ 888-686-6834
ext 8000 We offer the lowest cost solution.

http://www.free-press-release.com/news/200902/1233898003.html

Eddie Saleh Ontrack Financial Group llc Williamsville, NY

Virginia Statues (a) Maximum allowable garnishment

Except as provided in subsection (b) of this section and in section 1675 of this title, the maximum part of the aggregate disposable earnings of an individual for any workweek which is subjected to garnishment may not exceed

(1) 25 per centum of his disposable earnings for that week, or
(2) the amount by which his disposable earnings for that week exceed thirty times the Federal minimum hourly wage prescribed by section 206 (a)(1) of title 29 in effect at the time the earnings are payable,
whichever is less. In the case of earnings for any pay period other than a week, the Secretary of Labor shall by regulation prescribe a multiple of the Federal minimum hourly wage equivalent in effect to that set forth in paragraph

There is not a time line to pay the judgment. However the judgment will stay enforced for 20 years.

They can levy a bank account.

Ontrack Financial Group llc