As of June 8, 2015 I have filed Chapter 7 bankruptcy. My car was picked up on July 8, 2015. I called the finance company, to see

It's not completely correct. First, this company shouldn't have repo'ed your car a month after your filing in the first place without relief from the automatic stay. If they had notice they can be liable for your actual damages and maybe punitive damages. Beyond that, you have to reaffirm the debt with the company in order to make sure you can keep the vehicle after the bankruptcy. You would be responsible for all of the payments due under the contract, unless the reaffirmation agreement modified the contract. Without a reaffirmation agreement, they can repossess at any time. Other than these "minor" items, they have explained things correctly.

I agree with the other attorneys for what you need to do to keep the vehicle, but I would also suggest that you consider filing a motion for sanctions for a stay violation. Particularly if you incurred costs while your vehicle was repossessed. Did you have to rent a car or pay for taxis? Were you inconvenienced or miss work due to not having a vehicle. These are real damages that you may able to recoup as well as attorney fees and costs. They also may be liable for punitive damages. If you scheduled the finance company accurately and they received notice and did not ask for relief from stay before repossessing your car, they should pay a hefty sum for what they did. A month after filing is more than enough time for them to have notice. Hopefully you have a bankruptcy attorney and, if not, you should seek one to see what your options are. Good Luck!

When you filed the bankruptcy case something called the automatic stay arose. This stay prohibits pre-petition creditors from taking action against you and property of the estate. As a result of the stay the finance company was prohibited from repossessing the car. The company could have repossessed the car if they filed a motion to lift the stay. Your facts do not state whether this happened or not, but I am assuming from the conversation you relate that they did not do this. Therefore, the fact that they took the car while the stay was in force is a violation and you may want to bring this to the attention of the court in an effort to have sanctions entered against the finance company. The finance company can either file a motion to lift the stay now or wait until the discharge is entered which terminates the stay. Under either scenario once the stay is lifted they will be allowed to repossess the car unless you are current in your payments and reaffirmed the debt. Under the Code you were required to state your intention with regard to the car. If you want to keep it you have to make the payments and a reaffirmation has to be filed before the entry of the order of discharge. Even if you do all this understand that future failure to make payments can still result in repossession. Another issue to consider is whether there is equity in the car. Did you claim it as exempt? Is the trustee claiming an interest in the car? My recommendation is to see a bankruptcy attorney who can figure out exactly what is going on with the car. Also note that there are time limitations on reaffirmations. Throughout I have assumed that this is a vehicle purchase and not a lease.