Can I sell the vehicle and purchase another on the same value if the vehicle is listed on the banckruptcy 7 that I had filed? 11 Answers as of December 26, 2013I had the meeting of the creditors on December 6, 2013 and have completed the Post Management course (form 23). On December 12, 2013, I listed my vehicle as personal property, as well as listed it as exempt ($2,400). I recently encountered transmission problems & do not have the money to fix it. My question is: can I sell the vehicle and purchase another one of equal value or not exceeding the 4,000 exemption limit? If so, does this have to be reported to the trustee? I have not heard back from court if my case has been discharged yet.
Rhymer Law Firm | William Rhymer
If your Chapter 7 trustee has filed a report of no assets to be administered with the clerk, you can do anything you want to with the vehicle and can buy another one of any value you can afford. But remember you want to have as little debt as possible to really get a fresh start. Happy New Year!
Answer Applies to: Georgia
Stuart P Gelberg | Stuart P Gelberg
Your discharge will not come any sooner than 61 days after the meeting. The trustee must "abandon" the vehicle before you can sell it. A No Asset Report has the effect of an abandonment. So. did the trustee file a No Asset Report? You need to check the court's docket.
Answer Applies to: New York
OlsenDaines | Rex Daines
You can not sell an asset while a bankruptcy is pending unless the trustee "abandons" it. You can email your trustee and ask him to abandon it. The case should discharge and close on February 5th at which time you can sell it without restriction.
Answer Applies to: Oregon
Law Office of Mark B. French | Mark B. French
When you filed for Chapter 7 relief, your car became part of the estate. Hopefully, you correctly completed Schedule C and claimed it as exempt. Your exemption will normally become final 30 days after the meeting of creditors which would not be until the first week of January 2014. I would not suggest you sell any property of the estate until the exemption becomes final. However, I suspect that the Trustee would not oppose the sale under these circumstances and I suggest you contact them and ask for permission to sell the vehicle. Your discharge will normally be entered 60 days after the meeting of creditors which would be the first part of February 2014. Hope this helps.
Answer Applies to: Texas
A Fresh Start | Dorothy G Bunce
Your bankruptcy trustee has 30 days from the conclusion of your 341 meeting to object to your exemptions. While an objection is unusual, until that deadline elapses, you technically do not own your car until the deadline is up. So to sell your vehicle would require you to obtain permission from your trustee. At this point, the exemption limit on any vehicle you acquire is of no consequence - it simply doesn't apply. You will be unlikely to find any professional lender to finance the purchase of a replacement vehicle, so you may have to look to family or friends for help.
Answer Applies to: Nevada
Garner Law Office | Daniel Garner
The safest way to proceed, if you don't have a bankruptcy lawyer, is to ask the trustee if it's OK to dispose of your vehicle. From your description, it sounds like s/he would say go ahead. The trustee will tell you if anyone would object to that, although s/he would be careful not to give you legal advice. But you probably can do what you need to do. Good luck!
Answer Applies to: Oregon
Law Office of Jeffrey Solomon | Jeffrey Solomon
The discharge is a separate issue from the assets. The trustee might have already filed a Report of No Distribution meaning that the trustee is not making any claim on the property. The trustee at the meeting of creditors might have said that he abandoned any interest in the vehicle. If either of these have taken place, then you can sell the car. (though technically a creditor or the trustee has 30 days from the meeting of creditors to file an objection to claim of exemption.) You can also contact the trustee to explain the situation if you can reach anyone in the trustee's office.
Answer Applies to: Florida
Janet A. Lawson Bankruptcy Attorney | Janet Lawson
Your case will not be discharged for at least 60 days from the hearing. If you do not reaffirm the vehicle debt the creditor can have it back with no deficiency owed by you. Every jurisdiction is a little different. I would check with local counsel about buying another one now. I believe you can do it, because the date that counts is the date you filed. If there are no local rules that prohibit it, and if you can trade it in, go ahead. Trading it in will require the lenders consent so there has to be enough value to cover the debt.
Answer Applies to: California