Redemption Loan Program

Globe Loan Company offers redemption loans to consumers in the course of bankruptcy when it is recommended by their bankruptcy attorney.  These loans are made for the purpose of refinancing their existing vehicle(s) at current NADA trade value or such other value as may be determined by the court and the parties and formalized in a redemption order which will specify Globe as the successor lienhlder.  Here are some tips to lead you through the process.

1.  Complete all sections of the credit application accurately.  Globe verifies much of the information and errors, omissions, and misstatements are going to hurt your chances.  Sign it.

Identification

2.  You will have to provide a copy of your drivers license and/or other forms of identification in order to protect your privacy rights and for Globe to meet their Patriot Act responsibilities.               

Employment/Income

3.  Provide copies of your most recent paystub from work and a copy of your previous year tax return.  Your debt ratio is calculated based on this information to insure that you can afford the anticipated payment.

Residence

4.  Provide a complete copy of your most recent telephone bill including the billing name and address page.  It should be in your name at your stated residence.  Either a landline or a cellphone will suffice, but a "prepaid" will not.

5.  If you rent, provide a copy of your rental agreement and last rent receipt as well as the landlord’s contact information.  Many times Globe will want to speak to the landlord for a reference.

or, if you are a homeowner, things that may be helpful your last mortgage or contract statement, showing the loan is current, and/or the closing statement, and/or the last property tax bill.

or, if you live in a mobile home, the lot rent agreement, last lot rent receipt and lot manager contact information will be helpful along with a photocopy of the title to the mobile home.

6.  Provide the complete names and addresses of 5 personal references.  We have a form on which to do this.  We will often want to speak to 1 or 2 of these references.

Credit

7.   Provide a copy of your bankruptcy filing including creditor schedules.  Write an explanation of the circumstances relating to your bankruptcy and any prior credit problems.  This should be thoughtful and provide the lender some insight into why this is unlikely to reoccur.  Be factual as errors, omissions, and misstatements can hurt you here as well.

Amount Financed
8.  Normally this will be the amount specified in the redemption order but could in some instances include a portion of your attorney's fees.  Globe offers credit insurance covering life, disability, and unemployment insurance that, if elected, would add to the amount financed.  There will also be a fee to the county recorder to record the new lien.

click here for the REDEMPTION LOAN DOCUMENT CHECKLIST