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repo or negotiate?


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I am going to have to file a chapter 7 in a few months. I stopped paying all creditors in march 03 except my car payment. I then began the steps to activate the credit protection plans on all the credit cards. I have only been successful with 2. Its been 5 months now so Im getting crazy replies stating that I no longer have credit protect insurance bec I am 4 months past due..no sh**! Ive been trying to activate from day one of missed payments. Thats one issue Im fighting.

Next issue is my car. California's budget crisis affected me big time. I didnt get paid at all for July. I contacted the car loan co (Onyx) and they said I could do a deferment for July. Ok, that helped but now I cant make payments at all AND the transmission died last week which would be $1500 to $2500 (1996 suburban) blue book is only $7000 and I owe $15,000!. I had planned on continuing payments so I have a car and then later when I file, including it in the BK but if I dont make a payment for Aug then Im sure they will repo. Can I negotiate something with them? I dont know that I have much option. I have a good loaner car now. Im stuck! thanks in advance!

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You might be better off taking the bus and not putting any more money into a car that is not worth it at all.

Were you laid off in March or off on medical? I think they are the only way to use the credit insurance. If you were, then you would need to send proof to the creditors to get them to pay it.

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