Vincentown, NJ asked in Bankruptcy for New Jersey

Q: Leased car and bankruptcy. We co-signed a lease with our daughter in August of 2016. She is the primary payer.

My daughter fell behind on leased car payments. There was a confusion of who was to pay. The car got repossessed. Now the lease company (Chase) says because of our bankruptcy (we again are co-signers) my daughter cannot pay the back payments and repossession fees. She either has to buy the car outright OR it will be sold at auction and she will be responsible for the difference. The amount they want to "buy-it" is $3,000 more than had we paid cash to buy it new. It seems our daughter is being punished for our bankruptcy. Had we not signed and if she fell behind a few months - Chase's policy is to let you pay off the car back payments, a repossession fee and get the car back. They are saying even though she was not on the bankruptcy, she cannot make the payments. That does not seem fair. HELP

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1 Lawyer Answer
Michael David Siegel
Michael David Siegel
Answered
  • Bankruptcy Lawyer
  • New York, NY
  • Licensed in New Jersey

A: Once the car is repoed, you cannot just start making payments. Chase is right. She is punished for your bankruptcy as she is the only obligor left on the loan.

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