One man has filed a suit against a Chase Bank after it allegedly failed to apply his payments and send him proper notification about his car loan. He is suing the financial institution over the repossession of his vehicle, asserting that a bankruptcy case should have kept that from happening. While this case is pending in another state, similar cases are taken to court in Florida each year.
The man sued back in July, claiming that the institution had failed to apply payments and committed breach of contract, among other mistakes. He alleges that he was the co-buyer of the vehicle and that the buyer had filed bankruptcy, listing the car as exempt from the proceedings. The buyer apparently received a bankruptcy discharge, at which point the co-buyer purportedly informed the bank that he would like to continue making payments through direct debit.
The co-buyer claims that the bank failed to set up the payment arrangement as promised, and instead claimed the loan was in default, accelerated the loan process and then repossessed the car. He is seeking the money lost from the repossession, with interest. He also seeks court costs, attorney fees and any other relief that the court sees fit to give him.
The buyer in this case filed bankruptcy and received a discharge in a proceeding where she had claimed an exemption for the car. The co-signer on the car loan wanted to make arrangements to resume payments after the bankruptcy discharge, but the bank had apparently proceeded with a default and went through with a repossession. Anyone in Florida who finds themselves facing these circumstances may benefit by consulting with a bankruptcy attorney regarding the impact of the prior bankruptcy proceeding and the rights of a co-signor.
Source: wvrecord.com, “Consumer files suit against Chase Bank after repossession of vehicle“, Jenie Mallari-Torres, Aug. 1, 2017