Can I put a title loan in my bankruptcy? 28 Answers as of May 07, 2012

I currently have a title loan. If i want to file bankruptcy, could I put that in my bankruptcy?

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Hyman, Carter & Patel, PLLC
Hyman, Carter & Patel, PLLC | Mital D. Patel
Yes you should list is in your bankruptcy petition. However, if it is secured by a vehicle you may have to surrender the vehicle or your may chose to reaffirm. Either way it would be important to speak with an experienced attorney in further detail and discuss all options you may have and how to proceed.
Answer Applies to: Tennessee
Replied: 5/7/2012
Janet A. Lawson Bankruptcy Attorney
Janet A. Lawson Bankruptcy Attorney | Janet Lawson
You are required to list that loan. It is not however dischargeable because it is a secured loan. To keep the car you must make the payments.
Answer Applies to: California
Replied: 5/2/2012
The Law Offices of Seth D. Schraier
The Law Offices of Seth D. Schraier | Seth D. Schraier
You can put the loan in your bankruptcy petition, but it is important to remember that if a debt is secured by any property, in this case whatever property the title loan was taken out for, it may be ordered by the court that you must surrender the property. You should also look at the terms of the title loan agreement. A number of lenders now specifically state in the terms of the agreement that the debt cannot be discharged in bankruptcy, meaning that you would still owe the debt even if the bankruptcy is granted.
Answer Applies to: New York
Replied: 5/2/2012
L. JONES LAW FIRM, PLLC
L. JONES LAW FIRM, PLLC | Leon Jones, Jr.
As long as it is not a part of a property settlement agreement in divorce or otherwise tied to a tax or student loan obligation, then there should be no issue with you placing that loan in your bankruptcy.
Answer Applies to: Arkansas
Replied: 5/2/2012
Burton Green, Attorney | Burton Green
If by title loan you mean a loan against the title of a motor vehicle, then you can include that loan in a bankruptcy for discharge. However you will normally have to offer to surrender the vehicle to the lender. Some lenders will allow you to keep your vehicle even though you have been discharged of the liability for the loan, but only so long as you make your payments in a timely fashion and provide proof of insurance.
Answer Applies to: Florida
Replied: 5/2/2012
    A. ALLEN RAMSEY, P.C. | AUBREY ALLEN RAMSEY
    It may be included in Chapter 13 case with repayment plan. It may be included in Chapter 7 case but you may have to reaffirm the debt or surrender the collateral.
    Answer Applies to: Alabama
    Replied: 5/2/2012
    Neuhaus Law Office
    Neuhaus Law Office | Gregory M. Neuhaus
    Yes, a title loan is a secured debt, however, because it is a non-purchase lien, it can be discharged and you may be able to keep the vehicle, depending on value.
    Answer Applies to: Nebraska
    Replied: 5/1/2012
    The Law Office of Darren Aronow, PC
    The Law Office of Darren Aronow, PC | Darren Aronow
    Yes, but they still have the security instrument of the title as collateral.
    Answer Applies to: New York
    Replied: 5/1/2012
    Olson Law Firm | Edward M Olson
    I have not heard of a "title loan". However, your bankruptcy petition must include all debts and all assets. So, they are all included in the petition. Whether or not you can keep the property subject to a lien is another question. For that issue, I recommend that you speak to an attorney who can go over your situation specifically.
    Answer Applies to: Michigan
    Replied: 5/1/2012
    Ashman Law Office
    Ashman Law Office | Glen Edward Ashman
    Yes, but unless you pay it, you will lose the car.
    Answer Applies to: Georgia
    Replied: 5/1/2012
    Alvin Lundgren | Alvin Lundgren
    Yes you can and should.
    Answer Applies to: Utah
    Replied: 5/1/2012
    Indianapolis Bankruptcy Law Office of Eric C. Lewis
    Indianapolis Bankruptcy Law Office of Eric C. Lewis | Eric Lewis
    Yes but it still remains a lien against the vehicle.
    Answer Applies to: Indiana
    Replied: 5/1/2012
    Bird & VanDyke, Inc.
    Bird & VanDyke, Inc. | David VanDyke
    Yes it can and must be included in your bankruptcy under schedule D. However, because you allowed that lender to have title they have a secured debt. Bankruptcy in most cases will not discharge secured debts. So if you want to keep the asset that is security for the title loan then you will have to continue paying the payments even if you file bankruptcy.
    Answer Applies to: California
    Replied: 4/30/2012
    Debt Relief Law Center | Roger J. Bus
    I am not familiar with a "title loan." If by that you mean you obtained a loan and in exchange for it allowed a lien to be placed on a car title, for example, then the debt would be Discharged in a Chapter 7 but the lien would not. You would still either have to pay for the vehicle (redeem or reaffirm) or allow it to go back to the creditor if rejecting the debt.
    Answer Applies to: Michigan
    Replied: 4/30/2012
    Law Office of Michael Johnson
    Law Office of Michael Johnson | Michael Johnson
    Yes you can, but you may lose your car.
    Answer Applies to: Florida
    Replied: 5/1/2012
    Law Offices of Pamela L. Stewart | Pamela L. Stewart
    You must include the title loan in your bankruptcy, however, to keep the vehicle you will need to continue to make the payments. The bankruptcy does not extinguish the security interest the title loan company has. The bankruptcy only extinguishes your personal liability for that debt.
    Answer Applies to: Texas
    Replied: 5/1/2012
    Kelly Nigohosian | Kelly Nigohosian
    When you file Bankruptcy, all of your debts in the world must be listed. However, their are some debts you may want to keep and continue paying. Like a mortgage or a car loan, but you do not have to , and it is completely voluntary. However, if you do not pay the mortgage or car loan, they can reposess.
    Answer Applies to: Michigan
    Replied: 5/1/2012
    Norman Linder Hull, P.A. | Norman L. Hull
    Yes; however, if the title loan is perfected, you will get rid of your personal debt, but if you do not pay the loan, the lender can go after the property. Consult an attorney.
    Answer Applies to: Florida
    Replied: 5/1/2012
    Diefer Law Group, P.C.
    Diefer Law Group, P.C. | Abel Fernandez
    If the loan is for a home, then you have to pay the loan if you want to keep the property. If the loan is for a home you don't want, then you could surrender the home by walking away and filing a bankruptcy. Also, if this is a second deed of trust you might be able to file a chapter 13 and remove the second deed from the home but only if the home is worth less than what you owe to the first deed of trust.
    Answer Applies to: California
    Replied: 5/1/2012
    Dan Shay Law
    Dan Shay Law | Daniel Shay
    Yes, but the debt and the lien are separate. To obtain Title to the vehicle and avoid repossession the lien must be satisfied.
    Answer Applies to: California
    Replied: 5/1/2012
    Joseph F. Hook, Attorney at Law
    Joseph F. Hook, Attorney at Law | Joseph F. Hook
    You are required to list all of your debts in your bankruptcy. Although you may personally receive a discharge of the debt in your name, the lender will be able to recover from any property in which it holds a security interest or mortgage if you do not make the payments.
    Answer Applies to: Rhode Island
    Replied: 5/1/2012
    The Stockman Law Office | Mary Stockman Esq.
    You are required to list all your assets and all your liabilities. However, if you have a vehicle loan or a first mortgage on a home, that debt will discharge if you surrender the collateral.
    Answer Applies to: Florida
    Replied: 5/1/2012
    Danville Law Group | Scott Jordan
    Yes. Bankruptcy law requires that you list ALL of you debts and ALL of you assets. You do not have the option of listing only that which you wish to bankrupt out. Please consider consulting a local bankruptcy attorney. The small price for the fee is far outweighed by the value in service and advice.
    Answer Applies to: California
    Replied: 5/1/2012
    Law Office of Kristen Allard Shier
    Law Office of Kristen Allard Shier | Kristen Allard Shier
    Not only can you put a "title loan" in your bankruptcy, you must do so. When you file bankruptcy, you do not get to "pick and choose" which debts are included in the bankruptcy. You must include all of your outstanding debts. However, if you have a loan that is secured by some property, such as a house or a vehicle, you will have to indicate your intent with regard to that property. This is done by filing a "Statement of Intention" with your bankruptcy petition. The "Statement of Intention" gives you the choice to either surrender or retain the property. If you choose to "surrender" the property, this means that you give the property back to the lender and stop making the payments. If you choose to "retain" the property, and you must continue to pay on the loan, and you can retain title to the property.
    Answer Applies to: Colorado
    Replied: 5/1/2012
    Cohen & Kendziorra, P.A.
    Cohen & Kendziorra, P.A. | Robert S. Cohen
    All debts of every kind and nature, whether personal or not need to be included in your bankruptcy. In response to your question, including your title loan.
    Answer Applies to: Florida
    Replied: 5/1/2012
    Law Office of David P. Farrell
    Law Office of David P. Farrell | David Farrell
    You don't have a choice about what debts you "put in your bankruptcy". The law requires that you list all of your assets and debts. The question is whether the debt can be discharged in bankruptcy. I suspect since it's a title loan the lender took a security interest in your vehicle (or other property) at the time it lent you the money. If so, the lender has a "secured claim" because the loan is "secured" by your property - i.e. there is a lien on your property securing the repayment of the loan. Secured creditors are treated more favorably in bankruptcy than unsecured creditors. Merely filing bankruptcy is not going to effectuate release of the lien. Liens ride through bankruptcy unaffected. You need to speak to a lawyer. Don't file bankruptcy without an attorney.
    Answer Applies to: California
    Replied: 5/1/2012
    Law Office of Pho Ethan Tran PLLC
    Law Office of Pho Ethan Tran PLLC | Pho Ethan Tran
    You must disclose all your debts when you complete your bankruptcy petition, including the title loan. I've never personally dealt with title loans before, but I believe they file a lien on the title when the loan is granted. Thus, when you file for bankruptcy, the loan company maintains a security interest on the property that must be paid or they may seize the property.
    Answer Applies to: Texas
    Replied: 5/1/2012
    Law Office of D.L. Drain, P.A.
    Law Office of D.L. Drain, P.A. | Diane L. Drain
    The law requires that you list all your debts, which would include the title loan. The real issue is - did the lender properly perfect a lien on your vehicle. If yes, then you cannot keep the vehicle unless you pay for it. If no, then it is yours but you will need to deal with the trustee. It is very important that you talk to a competent bankruptcy attorney before filing your bankruptcy.
    Answer Applies to: Arizona
    Replied: 5/1/2012
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