Do I have any recourse against the bank?

Question

I borrowed money against my Mercedes and My Pathfinder from Desoto Bank. I lost my job and decided that in an effort to salvage what I could I talked to the bank and told them what happened and that my plans were to pay the Mercedes because I only owed $7000 against it and give back the $6000 balance pathfinder. The president of the bank said, clean it out and bring it to me. I was trying to file a BK 13, continue to pay the Mercedes and put the Pathfinder in the BK, I also told the bank that. They picked the up the Pathfinder 45 days late and then came back the next day and picked up the Mercedes. The Mercedes was not past due. As a matter of fact, the Friday before the Monday they picked it up, I paid the August payment( July 24 or so) So my next payment is due September 5. I have been paying more on the Mercedes to make sure I dont have a problem with that vehicle. AND I had $2800 worth of work on the MB and $800 in new tires. The pres said too bad. Is there anything I can

Answer 1

if you are declaring bankruptcy you shouldn't be driving either of those vehicles.

that is why life is so expensive for the rest of us. we are paying for those mistakes.

Answer 2

No..you have no recourse against the bank...You signed a contract with the bank, putting BOTH the vehicles up as collateral enabling you to get the loan from the bank. The bank did exactly what they should have when you defaulted on the loan...they repossess THEIR property. They were holding the title until you paid THEIR money back. If you were filing a Chapter 13, you didn't do it soon enough to save the vehicles from the repossession, so..I suggest, if you haven't file now...you best do it soon....you are still responsible for the money you owe the bank whether you file or not. 2800 dollars worth of repairs on the Mercedes..h**l, you could have filed by now. Word of advice...NEVER GO TO A BANK AND TELL THEM YOU ARE FILING A BANKRUPTCY WHEN THEY ARE HOLDING THE TITLE TO YOUR VEHICLE...THAT WAS  A DUMB MOVE!!

Answer 3

why on earth are you pumping money into vehicles that you're giving back? you're declaring bankruptcy no? you should have kept that money. the bank prez didn't tell you to pimp the ride before handing it over....you did that on your own.

Answer 4

It depends on how the overall loan agreement was drawn up.  If it was drawn up as combined assets, then you are SOL.

You need to consult an attorney.

Answer 5

In talking with an attorney in Tx the business with the cross colateralizing must be listed as a Credit Union.  If not, you would have had to signed a document disclosing the cross colateralization when you took the loan out.  The document must conspicuously disclose the cross credit and not be hidden or in very small print.  If you signed it, you will probably have to put both vehicles in the BK or let them both go.  

On the other hand, if you have been damaged by a creditor wrongfully repossessing a paid vehicle you need to talk to an attorney you can possibly get the title to the paid vehicle as damages.

Good luck!