Castroville, TX Bankruptcy Law Firms & Lawyers

Lien holder. As long as your Chapter 13 plan conforms to the bankruptcy law, then the lien holder is forced to comply with the terms of he plan. The lien holder can't bring suit against your cosigner because bankruptcy law prohibits suits against cosigners during the plan. When your plan is complete, the loan will be paid off or (it's is a long term loan like a mortgage), the bankruptcy court will issue a court order stating that the loan is current and the lien holder has no right to sue on a current loan. If the lien holder fails to file a proof of claim with the court, you, as the debtor, can file a proof of claim and the loan will be handled based on the information in your proof of claim?

The car lender is lying to you about taking the car if your payments are current. And it is too late to obtain a reaffirmation, which by law must be submitted to the court before the discharge is entered. You should have read your entire bankruptcy petition before it was filed and let your lawyer know that a creditor was missing, if in fact it was missing. Look at Schedules D or G of your bankruptcy paperwork to determine whether this debt was included. If not included, it is now too late to make any changes. Talk to your own lawyer about the repercussions of this mistake of yours.