As most everyone here knows, I declared personal bankruptcy at the end of November last year.
My computer is financed. I bought it last year in March and put $600.00 down and financed $1,200.00 of it and have been paying $100.00 per month from March to November.
When I declared bankruptcy I had to call and find out the balances owing for the bankruptcy forms. I found out that I owed them more than what I initially financed! I told them that was not possible because I paid $600.00 and only financed $1200.00 so how could I owe them $1400.00 8 months later?!
According to them they financed the full amount of $1800.00 and that the $600.00 I gave them went to lower my monthly payments! I told them that was not what I had directed them to do. I also found out that if I paid them off early that I was still paying the same interest to them as if I were to pay them monthly for the full term of the contract because it was a fixed interest rate! Again, that is not what was told to me when the sales guy came and had me sign the paper. The paper he showed me only showed the initial amount I was giving them ($600.00) and how much each monthly payment would be. I asked about paying it off early and he said I could pay it off anytime I wanted and it would only cost me $10.00 buy out fee. He never mentioned anything about having to pay the full interest whether I paid it early or not, until I called to find out the balance owing on November 27th, 2007.
Anyway, they got notification of my bankruptcy around the first week of December, 2007. They called me and asked me if I had intention of continuing to make my payments (an option available to me if the equipment is secured. If I choose to not make payments the equipment can be repossessed).
I told them "It depends" and she said "On what?" I told her that she needs to discuss this with my bankruptcy trustee and that I am not to talk to anyone except to direct them to the trustee. I gave the phone number and the person's name.
What I meant by "depends" but didn't tell her was:
1. If the equipment was secured and they could prove that it was, then I would consider whether I would continue to make the payment;
2. If I did decide to keep making payments that they better redo the contract the way it was supposed to be; financing $1,200.00 not $1,800.00 with an option to payout whenever I wanted without having to pay the full interest being charged.
But I didn't tell her any of that.
It's been 2 months since I last heard from that finance company. So I don't know the status of my computer.
Dare I think that the loan wasn't secured by the equipment and they can't take it back because of that. Or that maybe it was and they are just writing it off?
I was talking to my homecare attendant today and she thinks that maybe the girl's phone call to me in December was an "Ooops! The loan isn't secure, but maybe we can still get her to keep making payments on it anyway!"
Dare I think that I get to keep my computer?
My computer is financed. I bought it last year in March and put $600.00 down and financed $1,200.00 of it and have been paying $100.00 per month from March to November.
When I declared bankruptcy I had to call and find out the balances owing for the bankruptcy forms. I found out that I owed them more than what I initially financed! I told them that was not possible because I paid $600.00 and only financed $1200.00 so how could I owe them $1400.00 8 months later?!
According to them they financed the full amount of $1800.00 and that the $600.00 I gave them went to lower my monthly payments! I told them that was not what I had directed them to do. I also found out that if I paid them off early that I was still paying the same interest to them as if I were to pay them monthly for the full term of the contract because it was a fixed interest rate! Again, that is not what was told to me when the sales guy came and had me sign the paper. The paper he showed me only showed the initial amount I was giving them ($600.00) and how much each monthly payment would be. I asked about paying it off early and he said I could pay it off anytime I wanted and it would only cost me $10.00 buy out fee. He never mentioned anything about having to pay the full interest whether I paid it early or not, until I called to find out the balance owing on November 27th, 2007.
Anyway, they got notification of my bankruptcy around the first week of December, 2007. They called me and asked me if I had intention of continuing to make my payments (an option available to me if the equipment is secured. If I choose to not make payments the equipment can be repossessed).
I told them "It depends" and she said "On what?" I told her that she needs to discuss this with my bankruptcy trustee and that I am not to talk to anyone except to direct them to the trustee. I gave the phone number and the person's name.
What I meant by "depends" but didn't tell her was:
1. If the equipment was secured and they could prove that it was, then I would consider whether I would continue to make the payment;
2. If I did decide to keep making payments that they better redo the contract the way it was supposed to be; financing $1,200.00 not $1,800.00 with an option to payout whenever I wanted without having to pay the full interest being charged.
But I didn't tell her any of that.
It's been 2 months since I last heard from that finance company. So I don't know the status of my computer.
Dare I think that the loan wasn't secured by the equipment and they can't take it back because of that. Or that maybe it was and they are just writing it off?
I was talking to my homecare attendant today and she thinks that maybe the girl's phone call to me in December was an "Ooops! The loan isn't secure, but maybe we can still get her to keep making payments on it anyway!"
Dare I think that I get to keep my computer?
