Can I include pawn loans in a Chapter 13 bankruptcy or do I lose my jewelry that I have pawned? 12 Answers as of September 19, 2014

My loans are already past due by 30 days.

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Stephens Gourley & Bywater | David A. Stephens
You can include them, but you would have to pay the value of the jewelry through the plan to obtain your jewelry back.
Answer Applies to: Nevada
Replied: 9/19/2014
Freeman Law Group, LLC
Freeman Law Group, LLC | Derek Freeman
Yes you can include them in your chapter 13. In fact, you are required to list all debts. A pawn is a debt secured by the item you are pawning, so you must list it in your petition. However, you mentioned that you are 30 days late in making a payment. You need to determine whether your pawn loan is in default, and if so, whether title has passed to the pawn shop. If title has not passed, the chapter 13 will put a stay on the pawn shop's ability to sell the property, and you should be able to include the debt in the chapter 13 plan.
Answer Applies to: Colorado
Replied: 9/18/2014
Rhymer Law Firm
Rhymer Law Firm | William Rhymer
It depends on your pawn contract and the pawn shop owner. Some will agree to wait and be paid under a Chapter 13, others will not. If it is a "True" pawn contract you cannot make them accept payments in a Chapter 13. It is their choice.
Answer Applies to: Georgia
Replied: 9/18/2014
Law Office of Marlin Branstetter
Law Office of Marlin Branstetter | Marlin Branstetter
In most cases these loans are considered secured loans so you have to pay them in order to retain the property.
Answer Applies to: California
Replied: 9/17/2014
Janet A. Lawson Bankruptcy Attorney
Janet A. Lawson Bankruptcy Attorney | Janet Lawson
The pawn shop has a security interest in the jewelry. You can file for bankruptcy protection but you will most likely have to pay the debt to get the jewelry back.
Answer Applies to: California
Replied: 9/17/2014
    A Fresh Start
    A Fresh Start | Dorothy G Bunce
    You must include every debt in any bankruptcy & every debt means every debt. Since the debt is secured by your jewelry, you may want to repay the debt through your plan.
    Answer Applies to: Nevada
    Replied: 9/17/2014
    The Law Office of Darren Aronow, PC
    The Law Office of Darren Aronow, PC | Darren Aronow
    Sure you can include them if they have not been sold yet.
    Answer Applies to: New York
    Replied: 9/17/2014
    Ronald K. Nims LLC | Ronald K. Nims
    Your rights under a pawn loan in Chapter 13 (or Chapter 7 for that matter, the rights are identical) is to redeem in accordance with the terms of the pawn agreement except that if the redemption period is still open when you file bankruptcy, the redemption period is extended to 60 days after your filing date. Unlike other debts, you can't extend the time to pay the pawnbroker's loan over the 60 months of the plan, nor can you cramdown the loan to the fair market value of the goods. You have to pay the price set out in the redemption agreement, which can include penalties etc.
    Answer Applies to: Ohio
    Replied: 9/17/2014
    Garner Law Office
    Garner Law Office | Daniel Garner
    Those loans are secured debt which must be addressed in your chapter 13 plan. You can provide for their payment or surrender the jewelry if you can't afford to keep it. The pawn shop must be listed as a secured creditor and you must describe and accurately value the pawned items.
    Answer Applies to: Oregon
    Replied: 9/17/2014
    Mauritz Van Niekerk, Attorneys at Law
    Mauritz Van Niekerk, Attorneys at Law | Christiaan van Niekerk
    You will loose the jewelry.
    Answer Applies to: New York
    Replied: 9/17/2014
    Goldsmith & Guymon
    Goldsmith & Guymon | Marjorie Guymon
    You must include all debts. The jewelry is collateral for the loan so if you want to keep the jewelry you must continue to make payments.
    Answer Applies to: Nevada
    Replied: 9/17/2014
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