EMPOWER YOUR CLIENTS TO MOVE FORWARD WITH OUR FIRST STEP AUTO LOAN PROGRAM.

For more than 35 years, we’ve worked with customers throughout Ohio who have filed Chapter 7 and Chapter 13 bankruptcies, helping them regain financial stability through auto financing, vehicle purchase and credit rebuilding services. IN AN AVERAGE MONTH, THE FIRST STEP AUTO LOAN PROGRAM ARRANGES FINANCING FOR 35 – 50 CHAPTER 7 AND CHAPTER 13 BANKRUPTCIES. Our progressive auto loan program offers numerous benefits for your clients: Vehicle can be purchased the same day that bankruptcy is filed. Competitive financing rates with zero-down options. Quick, simple no-fee application. Large inventory: Certified, high-quality, pre-owned vehicles with factory warranties. Certified Appraiser on staff to help with your Trustee requirements. Re-establishes credit with a new auto loan reporting to all three credit bureaus before bankruptcy is discharged. Extensive experience with PACER, U.S. Bankruptcy Courts and U.S. Trustees. The First Step Auto Loan Program along with Ganley Auto Group, has built a strong, well-respected reputation based on honesty and integrity – and we deliver on our promises.

CHAPTER 7 BANKRUPTCY

Chapter 7 bankruptcy takes about four months to complete and doesn’t require you to enter into a repayment plan with creditors. You also get to keep, or “exempt,” a certain amount of property. In exchange for forgiveness (discharge) of your qualifying debts, you agree to turn over all of your nonexempt property (assets not protected from creditors) to the court. The court sells the nonexempt property and distributes the funds to your creditors. Almost every state allows you to exempt a particular amount of equity in a car (amounts vary from state to state). Your first step will be to determine whether you can protect all of the equity. If you can, and you don’t have a loan, your analysis is over—you get to keep the car. If you can protect all of your equity and you’re paying on a car loan, or if you used the vehicle as collateral for another loan, you’ll have three choices: surrender the vehicle, reaffirm the debt, or redeem the car for the value. Surrender the car. If you don’t want to pay the loan secured by your vehicle, or if the car isn’t worth what you owe, you can give it back to the lender and walk away. Any loan balance you owe will get discharged in the Chapter 7 case. You can turn in a leased car and not be liable for further payments or other charges, as well. Reaffirm the car loan. If you choose to keep the car, you and the lender can agree to enter into a new contract called a reaffirmation agreement. You’ll continue making your payments until you’ve paid the loan off, usually according to the original terms when you filed the Chapter 7 case. If you stop making payments, the lender can repossess the vehicle and collect any amount remaining after selling the car at auction (called a deficiency balance). Also, if the car suffers damage in an accident that isn’t paid by insurance, you’ll be responsible for it as if you had never filed bankruptcy. Redeem the car. If your car is worth less than you owe, but you want to keep it, you can pay the lender just the value of the car. However, there’s a catch: You’ll have to pay it in a lump sum. This might work if you can get a gift or loan from a friend or relative. Also, if you search online, you’ll find specialize in financing redemption of cars out of the bankruptcy. But the interest tends to be high, so you’ll want to be sure you’re getting a better deal than you would if you stayed with your original lender and reaffirmed the debt. If you have questions about your circumstances, give us a call at the number below.

866-612-7950