Is there a way to file bankruptcy but keep the vehicles? 33 Answers as of October 08, 2012

I have a car loan, a truck loan and I’m a co-signer for a motorcycle loan. My husband uses the truck for his landscaping business and I use the car daily.

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Law Office of Susan G. Taylor
Law Office of Susan G. Taylor | Susan G. Taylor
Yes should be no problem, but I need more detail to know for certain.
Answer Applies to: Texas
Replied: 10/8/2012
Indianapolis Bankruptcy Law Office of Eric C. Lewis
Indianapolis Bankruptcy Law Office of Eric C. Lewis | Eric Lewis
It depends on how much equity you have in the vehicle or vehicles and what exemptions are available to you when and where you file bankruptcy.
Answer Applies to: Indiana
Replied: 10/8/2012
Law Office of D.L. Drain, P.A.
Law Office of D.L. Drain, P.A. | Diane L. Drain
Most likely, but it really depends on the state where you live. Please understand that filing for bankruptcy is a very complicated process. It is wise to talk to an experienced bankruptcy attorney before deciding to take this important step. Most Arizona bankruptcy attorneys offer a free consultation about the basics of bankruptcy.
Answer Applies to: Arizona
Replied: 10/7/2012
Paul Stuber, Attorney at Law
Paul Stuber, Attorney at Law | Paul Stuber
Usually if you are current on the payments you are able to keep the vehicles. Your equity would have to fit into a certain amount and you might have to reaffirm the debt.
Answer Applies to: Colorado
Replied: 10/4/2012
Thommes Law Office | Adrienne Sue Thommes
Yes, so long as the value of the vehicles falls within the amount allotted under either the vehicle exemption and the wildcard exemption for Washington State. The vehicle exemption amount is $3250 and the wild card exemption amount is $3000, so you can hypothetically have a $7250 vehicle exemption in Washington State.
Answer Applies to: Washington
Replied: 10/4/2012
    Law Office of Asaph Abrams
    Law Office of Asaph Abrams | Asaph Abrams
    In San Diego bankruptcy, the answer is yes (with rare exception). In Chapter 7 Bankruptcy, cars can be sold to repay creditors, but only if they have "too much" equity (the cars, not the creditors). Equity is market value less loan payoff. A substantial amount of equity can be protected through bankruptcy exemptions-statutes that define the value of property you're entitled to keep. See our website for details on protecting your modes of transportation in bankruptcy.
    Answer Applies to: California
    Replied: 10/3/2012
    The Law Office of Mark J. Markus
    The Law Office of Mark J. Markus | Mark Markus
    Absolutely. But it depends on the value of the vehicles, amount of liens against them, and what exemptions you have under applicable law to protect any equity. It also depends on whether you can maintain the payments on the secured loans. The best way to determine what you can and cannot keep is to have a consultation with an experienced bankruptcy attorney in your state.
    Answer Applies to: California
    Replied: 10/3/2012
    Eric J. Benzer, Attorney at Law
    Eric J. Benzer, Attorney at Law | Eric Benzer
    Please call an attorney asap.
    Answer Applies to: Maryland
    Replied: 10/3/2012
    Law Office of Andrew Kern
    Law Office of Andrew Kern | Andrew Kern
    Yes, you can retain vehicles in bankruptcy by either exempting their equity value (value of vehicle minus loans) up to the amount permitted by the bankruptcy code or paying the trustee the amount of the vehicles that exceed the amount you can exempt from creditors. I suggest you talk with a bankruptcy attorney to determine the answer.
    Answer Applies to: California
    Replied: 10/3/2012
    Connaghan Newberry Law Firm
    Connaghan Newberry Law Firm | Tara D. Newberry
    Generally you are able to keep vehicles that still have debt, so long as you remain current on payments. If a vehicle is owned outright, each debtor is able to exempt 1 vehicle worth $15,000 or less.
    Answer Applies to: Nevada
    Replied: 10/3/2012
    Shaw Legal Services
    Shaw Legal Services | Anne Shaw
    Yes, you can claim exemptions on any value of the vehicles, the trade vehicle may also be subject to a separate exemption. If you owe money on the vehicles, depending on your income, you may be able to reaffirm those debts, so you can make payments and keep the vehicles.
    Answer Applies to: Illinois
    Replied: 10/3/2012
    A Fresh Start
    A Fresh Start | Dorothy G Bunce
    Most people that file bankruptcy are able to keep their vehicles, as Nevada law provides for very generous exemptions for vehicles. Unless the equity in the vehicles (the value minus the loan balance) is over $15K, you can keep both the car & the truck. More information would be needed to decide whether or not the motorcycle would be at risk. Hope this perspective helps!
    Answer Applies to: Nevada
    Replied: 10/3/2012
    Danville Law Group | Scott Jordan
    Yes, absolutely there is a way. California has multiple exemptions which you can use to keep your vehicles. Especially so if you have loans outstanding on the vehicles which would decrease the equity in each item. In addition, there a "tools of the trade" exemption which can be used for your husband's truck since it is needed for the business.
    Answer Applies to: California
    Replied: 10/3/2012
    Charles Schneider, P.C.
    Charles Schneider, P.C. | Charles J. Schneider
    Yes there is, contact an attorney.
    Answer Applies to: Michigan
    Replied: 10/3/2012
    The Law Office of Darren Aronow, PC
    The Law Office of Darren Aronow, PC | Darren Aronow
    When you file, you will be asked to sign a reaffirmation agreement in order to keep your vehicle.
    Answer Applies to: New York
    Replied: 10/3/2012
    Diefer Law Group, P.C.
    Diefer Law Group, P.C. | Abel Fernandez
    Most of the time if you are paying the loans, you should be able to keep the cars.
    Answer Applies to: California
    Replied: 10/3/2012
    The Schreiber Law Firm
    The Schreiber Law Firm | Jeffrey D. Schreiber
    The first question which needs to be answered is how much equity you have in the vehicles. If there is no equity, then the Chapter 7 trustee should have no interest in the vehicles. If there is some equity, then is there an exemption available to cover the amount of equity. The exemptions available to protect your property is based on what state you live in. The second question is, if you can protect the cars will you be prepared to reaffirm the debts on the car and the truck. If you do not reaffirm then the lenders have the right to repossess even if you are current on the payments.
    Answer Applies to: California
    Replied: 10/3/2012
    Bird & VanDyke, Inc.
    Bird & VanDyke, Inc. | David VanDyke
    Yes. You may file bankruptcy and keep your vehicles in most cases.
    Answer Applies to: California
    Replied: 10/3/2012
    R. Jason de Groot, P.A
    R. Jason de Groot, P.A | R. Jason de Groot
    Yes there is a way to file bankruptcy and keep the vehicles. If you file a chapter 7 you may have to buy the vehicles back from your bankruptcy estate. Consult with an attorney in your area.
    Answer Applies to: Florida
    Replied: 10/3/2012
    Knute Rife
    Knute Rife | Knute Rife
    That would depend on many factors, such as how much the vehicles are worth, how they are titled, and how much you owe on them. You need to sit down with an experienced attorney and map out a plan.
    Answer Applies to: Utah
    Replied: 10/3/2012
    Moore Taylor Law Firm, P.A.
    Moore Taylor Law Firm, P.A. | Jane Downey
    Yes if you file 13 most likely and maybe so if you don't have much equity and you file a 7.
    Answer Applies to: South Carolina
    Replied: 10/3/2012
    LAW OFFICE OF MARGARET L. EVANS, PC
    LAW OFFICE OF MARGARET L. EVANS, PC | Margaret L. Evans
    Yes, however, they must be exempt, and if they are not, then in a Chapter 13 you could pay the unexempt portion of the vehicle's value through the plan, PROVIDED, HOWEVER, that you have enough DMI (disposable monthly income) to support a confirmable plan. In the event of a Chapter 7, you'd need the available cash to pay the nonexempt portion off.
    Answer Applies to: South Carolina
    Replied: 10/3/2012
    La Office of William H. Von Willer | William H. Von Willer
    As a general rule you should be able to keep your vehicles.
    Answer Applies to: Indiana
    Replied: 10/3/2012
    Janet A. Lawson Bankruptcy Attorney
    Janet A. Lawson Bankruptcy Attorney | Janet Lawson
    Most often people to keep their vehicles, especially if there is no equity in them. See a local attorney to figure this out. All of your property and exemption rights have to be considered.
    Answer Applies to: California
    Replied: 10/3/2012
    Dan Wilson Bankruptcy
    Dan Wilson Bankruptcy | Dan Wilson
    If you are able to keep current on the vehicle loans you can keep them. However, this is a good opportunity to dump car loans if vehicles are underwater.
    Answer Applies to: Colorado
    Replied: 10/3/2012
    Law Office of Michael Johnson
    Law Office of Michael Johnson | Michael Johnson
    Yes you can. You need to reaffirm the debt.
    Answer Applies to: Florida
    Replied: 10/3/2012
    Wajda Law Group, APC
    Wajda Law Group, APC | Nicholas M. Wajda
    Without having more information about the value of the vehicles and how much is still owed on them, it is impossible to give you a definite answer. However, in most situations debtors (the persons filing bankruptcy) are able to keep their vehicles when filing bankruptcy. This is either because the vehicle has no equity (you owe more than it is worth), the amount of equity falls within your state's exemptions (for Nevada this is $15,000 for one vehicle per person filing), or because the debtors file a Chapter 13 bankruptcy. I suggest that you speak to a licensed attorney in your area. Most, like myself, will offer a free consultation where they will explain all of this and let you know if you have any risk of losing your vehicles.
    Answer Applies to: Nevada
    Replied: 10/3/2012
    Musilli Brennan Associates PLLC
    Musilli Brennan Associates PLLC | John F Brennan
    Yes, you need to counsel with a bankruptcy attorney.
    Answer Applies to: Michigan
    Replied: 10/3/2012
    Law Office of Stuart M. Nachbar, P.C.
    Law Office of Stuart M. Nachbar, P.C. | Stuart M. Nachbar
    In NJ, yes, it is possible. You and your attorney would discuss Reaffirmation Agreements which is the way that you can keep cars. It will also depend on the current status of payments, and if it can be afforded in your budget with the Bankruptcy. Kindly consult with a Bankruptcy Attorney in your State.
    Answer Applies to: New Jersey
    Replied: 10/3/2012
    The Smalley Law Firm, LLC | Cary Smalley
    Each debtor is entitled to keep one vehicle in bankruptcy.
    Answer Applies to: Kansas
    Replied: 10/3/2012
    Ferguson & Ferguson
    Ferguson & Ferguson | Randy W. Ferguson
    Yes if you can make the payments.
    Answer Applies to: Alabama
    Replied: 10/3/2012
    David Andersen & Associates PC | Jeremy Shephard
    Yes. It is quite common to keep secured debt through a bankruptcy. Secured debt is debt that has collateral. Different chapters of bankruptcy have different options but it is not a problem. Consult with an experienced bankruptcy attorney regarding your situation. They should be able to explain your options more thoroughly.
    Answer Applies to: Michigan
    Replied: 10/3/2012
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