Do I put “buy here – pay here” vehicle loans in my bankruptcy ?
Yes, car lots that finance the purchase of car are very common and do have to be listed as a creditor in your bankruptcy and the vehicle you purchased does have to be listed as an asset. If you have such a vehicle loan, be sure and tell your bankruptcy attorney about the loan. If you are current on the loan, and you are filing Chapter 7 bankruptcy, you can very likely reaffirm the loan and keep paying the car lot and keep the vehicle. You also have the option of surrendering the vehicle back to the car lot and owing them nothing in a Chapter 7 bankruptcy. If you are filing Chapter 13 bankruptcy, you can surrender the vehicle, keep the vehicle and keep paying for it outside the Chapter 13 plan, or put the debt on the vehicle inside the plan and keep the vehicle. The details, paperwork and title of the purchase and the vehicle need to be provided to your bankruptcy attorney immediately. There are issues that could arise that your attorney can check that could affect your ability to keep the vehicle if you are filing Chapter 7, even if you wanted to keep paying for it and are current on the payments.
So, yes, the debt to the car lot MUST be listed in any type of bankruptcy that you file and your attorney can guide you as to the best option for you in keeping the vehicle or letting it go.
Read Full Post | Make a Comment ( None so far )Can I keep my vehicle if I file bankruptcy ?
Yes !
It is very possible, and likely, that you will get to keep your vehicle if you file bankruptcy, if you want to keep it.
If you owe on the vehicle, and you are current on your payments, then you can generally continue to keep paying who you owe and keep the vehicle in whatever type of bankruptcy you file.
If you are behind on the payments on the vehicle, and you want to keep it, there is a type of bankruptcy (Chapter 13) where you can pay for the vehicle through the bankruptcy and eliminate the payment, and sometimes lower the interest rate on the debt. You can still do this even if you are current, possibly in order to lower the interest rate.
Likewise, if you owe on a vehicle and want to stop paying and don’t want to keep the vehicle, you can surrender it and in some types of bankruptcy owe nothing, and in another type, surrender and pay what’s left owing through the bankruptcy (Chapter 13) after the vehicle is sold.
It is important that you discuss your options with an experienced bankruptcy lawyer as soon as possible. Most lawyers are willing to offer you a free, no obligation appointment to discuss your situation to see if bankruptcy is right for you and how it would effect your vehicle.
Read Full Post | Make a Comment ( None so far )Your Property in Bankruptcy
While you may not own a fleet of fancy sports cars, if you decide that filing for bankruptcy protection is in your best interest, you still want to retain as much of your property that you can, while at the same time obtaining relief from your debts. Without an experienced bankruptcy lawyer guiding you through the bankruptcy process, your property and the discharge of your debts may be at risk. Our firm believes that the best way to represent you is to personally know you, your situation, and your reason for considering bankruptcy.
Please give us a call today toll free 1-888-651-9353 if you want to meet for a free, no obligation appointment to discuss your financial situation and how we may be able to help !
John Rogers, Attorney at Law, Kentucky Bankruptcy Attorney
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