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Debbie
Bankruptcy Filing in question?
I'm trying to sell a car and carry the note, but I've been told the people wanting to buy are in bankruptcy payments. Is there any way I can find out if these people have filed bankruptcy?
Our newspaper publishes bankruptcy filings from time to time. However if you are selling
your car for cash, it wouldn't matter whether they are filing for bankruptcy or not. I
doubt you would want to have them make payments. As long as you have a cash
transaction you don't have to worry about it.
rpg
Yes. Bankruptcies are a matter of public record.
You can look up bankruptcy filings at PACER (Public Access to Electronic Court Records).
You will need to register for a PACER account (free) and you will need to give a credit card number in order to register for the account, but the info itself is not expensive ($0.08 per page).
You should be able to find it by Googling it.
If the people to whom you are selling the vehicle want to finance it (i.e., want to make payments to you rather than paying cash) they need their bankruptcy trustee's permission before incurring new debt.
If you are financing the vehicle and they are indeed in bankruptcy, ask for a copy of their bankruptcy trustee's written permission to incur this new debt.
If they are paying cash, they do not need the trustee's permission.
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