Car Loan and a proposal

September 29th, 2007 by Questions

I currently have a car loan, it is a private agreement with in house financing. I have been paying 265 per month, i still have 10 payments. If i do a consumer proposal, can they take my vehicle. there is no lein, just a handwritten promissary note.


One Response to “Car Loan and a proposal”

, A licensed trustee said:

Your car loan is safe – unles you have missed payments or you are in default of some other term of the loan the company you are dealing with does not have the right to cancel your contract simply because you have filed a proposal.

That being said, it wouldn’t hurt to call them in advance and inform them that you are going to file, but you will continue to make your payments for the car. That’s more polite then allowing them to hear about it from your trustee…

Please post a follow up comment below:

(Note: comments are reviewed by moderators and then posted after approval. In addition, due to high volume some of the comments might not be posted.)