Can a Lawyer Stop a Car Repossession in Pennsylvania?

If you missed a few car payments and are concerned your vehicle may be repossessed, call our attorneys to learn about filing for bankruptcy in Pennsylvania.

In many cases, our lawyers can stop a car repossession in Pennsylvania. When you file for bankruptcy, an automatic stay will go into effect, preventing lenders from taking your vehicle. If you file for Chapter 13 bankruptcy, you may even get your car back if it has already been repossessed and be able to settle outstanding payments through a repayment plan. If you file for Chapter 7 bankruptcy, getting your car back after it has been repossessed can be more challenging, though still possible with help from our attorneys. Act quickly if your car is in danger of being repossessed, and contact our lawyers immediately.

If you’re struggling to make your car payments and are worried your vehicle might be repossessed, reach out to our attorneys. For a free case evaluation with the Pennsylvania bankruptcy lawyers at Young, Marr, Mallis & Associates, call today at (215) 701-6519.

How Can Filing for Bankruptcy Stop a Car Repossession in Pennsylvania?

If your car has recently been repossessed in Pennsylvania, or you just received notice from a lender informing you that your car will be repossessed, call our attorneys. Our lawyers can help you file for bankruptcy quickly so that you don’t lose your car in Pennsylvania.

Automatic Stay

As soon as you file for bankruptcy in Pennsylvania, an automatic stay will go into effect. This stops any debt-collection efforts from lenders or creditors, including efforts to repossess and sell your vehicle. This can provide immediate relief to debtors, especially those threatened with car repossession. Once an automatic stay goes into effect, our Bensalem bankruptcy lawyers will have time to devise a plan to move forward so that you don’t lose your car and can settle any outstanding debt you may owe to a lender.

Repayment Plan

Contact our Allentown bankruptcy lawyers if you default on your car loan and your lender has notified you that they intend to repossess your vehicle. If you earn enough income to support a repayment plan to creditors, you may be able to file for Chapter 13 bankruptcy. This can allow you to stop a possible car repossession and continue to make payments on the car as part of your repayment plan. Chapter 13 bankruptcy does not require debtors to liquidate assets such as their vehicles to pay for debts. If your car has already been taken, filing for Chapter 13 bankruptcy with help from our attorneys may allow you to get your vehicle back.

Can You Get Your Car Back After it Has Been Repossessed in Pennsylvania?

Getting your car back after being repossessed can be challenging in Pennsylvania. The best way to address this issue is to avoid it entirely and file for bankruptcy as soon as you are notified that your car may be repossessed.

If you qualify to file for Chapter 13 bankruptcy, you may be able to get your car back after filing. That’s because Chapter 13 bankruptcy works through repayment plans, not liquidation of assets. If the repayment plan accounts for the car payments, it may be possible to have the car returned as part of the plan.

That said, not everyone in Pennsylvania is eligible to file for Chapter 13 bankruptcy. If you don’t earn enough income to support a repayment plan to creditors, you may not pass the means test might be left with Chapter 7 bankruptcy as your only option. Pennsylvania does not have a specific vehicle exemption for Chapter 7 bankruptcy, meaning you might lose your car through liquidation, especially if it has already been repossessed before filing.

However, if you contact our attorneys, you may be able to get your car back despite filing for Chapter 7 bankruptcy in Pennsylvania. Our lawyers may be able to help you reaffirm your loan, allowing you to cover previously unmet payments so that you don’t lose your car. Depending on your finances, you may be able to redeem your car and make a lump sum payment to your lender.

Although Pennsylvania doesn’t have a specific car exemption for Chapter 7 bankruptcy, it does have a wildcard exemption, allowing debtors to protect up to $300 in equity in any property. You may be able to put this exemption toward owed car payments or use a federal exemption, allowing you to get your car back after it has been repossessed.

Why Should You Call Our Lawyers if Your Car is Being Repossessed in Pennsylvania?

If you’ve missed even one car payment in Pennsylvania, your vehicle might be at risk of being repossessed. Because of that, it is important to call our attorneys immediately, especially if you cannot pay back your creditors without filing for bankruptcy.

In Pennsylvania, a lender can repossess your car without notice if you default on your loan. Though lenders typically do give notice, it may not be much, leaving borrowers in a difficult situation. Failing to make a payment today might result in your car being repossessed tomorrow. To prevent that from happening, reach out to our Quakertown bankruptcy lawyers.

While filing for bankruptcy might seem like a drastic measure after missing a few car payments, it is not. Lenders can repossess your car without warning, leaving you without reliable transportation. Our attorneys can act quickly and help you file for bankruptcy immediately, so your car is not taken. Then, our lawyers can devise a repayment plan that enables you to pay off any outstanding amounts to keep your vehicle and regain your financial stability in Pennsylvania.

Call Our Pennsylvania Lawyers to Stop a Car Repossession

If your car is at risk of being repossessed in Pennsylvania, our attorneys can help. For a free case evaluation with the Philadelphia bankruptcy lawyers at Young, Marr, Mallis & Associates, call today at (215) 701-6519.