Creditors and Bankruptcy/A friends car loan.

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Expert: Regan Shinski - 1/22/2010


Question
A friend purchased a vehicle for me assuming I would pay the loan. When I decided to file bankruptcy I informed her and told I would be giving car back. She told me to keep as long as I needed and then give back. I paid her payments for 8 months prior to bankruptcy and about 6 months after. I am now giving her the car back. She wants me to keep it and payoff but I cannot. Can she harm my bankruptcy, request to be a creditor, etc. Everything is solely in her name?

Answer
Possibly.  I don't know how probable though.  When you file bankruptcy, you have to list all assets, debts, and obligations.  Did you mention this vehicle?  It's a gray area but if you didn't some bankruptcy judges may take that as trying to hide something from the court, a serious issue that can jeopardize the entire bankruptcy.  Ultimately, it would have to be determined if a legal contract was in play, something that you freely admit was the case.

Again, not sure how likely this is but you asked if she could harm your bankruptcy and I believe it is possible.

Good luck,
Regan

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Regan Shinski

Expertise

I can answer questions on collections, repossessions, bankruptcy, credit repair, credit counseling, FICO scores, credit planning, and the cause and effect of credit related decisions. I can also answer questions on collection settlements and preparing to sue your creditors for false debts and credit reporting.

Experience

Fifteen years ago I was financially devasted due to severe health issues. I filed bankruptcy, had a foreclosure, car repossession, tax lien, and ruined credit. I immersed myself in credit law. I settled dozens of accounts and had them removed to improve my credit. I personally sued four creditors and collection agencies and won cash settlements for their false reporting on my credit reports. Since then, I have completely recovered and have nearly $100,000 in revolving credit lines and perfect credit. I have owned a credit repair company for the past five years and have an additional three years of specific work in the collections and debt management industry. I am fully versed in the Fair Debt Collection Practices Acts (FDCPA), Fair Credit Reporting Act (FCRA), and have used them successfully in collection settlements and lawsuits for myself and others. I am also familiar with and abide by the Credit Repair Organizations Act (CROA). I have deleted or helped delete literally hundreds and hundreds of derogatory items from consumers' credit reports and helped negotiate many settlements with collection agencies and creditors. I have also advised people on bankruptcy at any stage. In the current credit market, I have successfully advised numerous people on how to obtain credit and how to negotiate for better terms.

Education/Credentials
BA - University of Minnesota

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(private)

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