What will happen to my RV during bankruptcy? 9 Answers as of March 08, 2011

I was given an RV by my parents, they told me I could not sell the RV or they would want me to pay them what it was worth. I am about to file chp 7 or 13 Bankruptcy and I am concerned that I will have to give the RV to the trustee. What can I do?

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David R. Fondren, Attorney at Law
David R. Fondren, Attorney at Law | David R. Fondren
You did not mention whether the title was transferred or not. This would be important to know. The answer would also depend on what it is worth to determine whether a trustee in your jurisdiction would try to liquidate it in a chapter 7 or require you to guarantee a dollar figure to unsecured in a chapter 13. You also did not mention if you are living in it or if this is your primary vehicle for commuting (I try not to assume to much). A recent court declared that mobile homes have to be a minimum size to be considered a "home" for homestead exemption. the size excludes RV's and camper trailers. This basically punishes all of my really poor clients who can't even afford a mobile home. You may be able to claim a motor vehicle exemption depending on your jurisdiction and other assets.
Answer Applies to: Missouri
Replied: 3/8/2011
The Law Office of Mark J. Markus
The Law Office of Mark J. Markus | Mark Markus
Well, in a Chapter 13 you would not have to give the RV to the Trustee. In a Chapter 7 you might, depending on the value of your RV and the amount of exemptions you have under applicable state law to protect it. Exemption laws are based on the state where you resided for the 2 years prior to filing your bankruptcy case or, if you lived in more than 1 state during that period, in the state where you resided for the greater part of the 180 days prior to that 2 year period.
Answer Applies to: California
Replied: 3/8/2011
Janet A. Lawson Bankruptcy Attorney
Janet A. Lawson Bankruptcy Attorney | Janet Lawson
Not enough information to answer the question.... how much is it worth? What state are you in? Whatr else do you own? See a lawyer about this.
Answer Applies to: California
Replied: 3/8/2011
Law Office of Harry L Styron
Law Office of Harry L Styron | Harry L Styron
It depends on the state of title of the RV. If it is in your name, then the trustee will seize and sell it. If it is in someone elses name beside yours then it will not be part of the bankruptcy. If it is in joint names, or if your parents retained a security interest, then the situation is more complex.

If it is in your name alone, you may not convey it back to your parents within one year of the date of filing the petition.
Answer Applies to: California
Replied: 3/8/2011
Ferguson & Ferguson
Ferguson & Ferguson | Randy W. Ferguson
You really need to ask the attorney that is helping you file. It depends on the value and is it in your name. It also will depend on which chapter you file and your assets. Sit down with a bankruptcy attorney and go through all of your information before you decide what to. Most bankruptcy lawyers do not charge a fee to talk to them.
Answer Applies to: Alabama
Replied: 3/8/2011
    Ursula G. Barrios Law
    Ursula G. Barrios Law | Guillermo Machado
    If RV paid in full, CA law protects up to $27K of it betweenvehicle exemption and wildcard while going through BK, assuming you have no other assets to protect. You will need to knowhow to apply exemptions.
    Answer Applies to: California
    Replied: 3/7/2011
    Indianapolis Bankruptcy Law Office of Eric C. Lewis
    Indianapolis Bankruptcy Law Office of Eric C. Lewis | Eric Lewis
    You can only protect a certain amount of equity in vehicles and personal property - the amount depends on where you are filing and whether your state allows for federal or state exemptions. In Chapter 7, the RV could be subject to liquidation and sale. In Chapter 13, the equity you have and value of the RV will dictate, in part, the amount of repayment you must pay under your Chapter 13 plan.
    Answer Applies to: Indiana
    Replied: 3/7/2011
    Carballo Law Offices
    Carballo Law Offices | Tony E. Carballo
    Unless there is something officially writing restricting your title at the time it was transferred to you then you own the RV free and clear. Depending on its value you may be able to keep it or it will be taken by the trustee and sold to pay your creditors. You have a certain amount of exemptions to protect the RV and other property/assets. That amount is to protect your vehicles and other property including bank accounts and the cash in your pocket if any. You need to check with a lawyer as to how much your exemptions are, what they are for and how you can use them to your best advantage.
    Answer Applies to: California
    Replied: 3/7/2011
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