In most cases, you can keep your car after bankruptcy.
If you owe money on the car, you will have to stay current with your payments, but you can in all likelihood keep your car. Each state sets a dollar amount on the property you can keep after bankruptcy. (The amount is different in Alabama, Mississippi and Tennessee.)
- The amount your car is worth is less that you paid for it, so it is likely below the allowed limit.
- Most of us need a car to get to jobs, school, medical appointments and community and church events, so it is important to keep your car.
- If your car has payments left, make sure you stay up-to-date on your payments.
The money you owe on your car cannot be discharged in bankruptcy, because it is a secured debt. The bank can repossess it if you don’t resume payments after bankruptcy.
Call 1-877-ONE-DEBT and find out the facts about bankruptcy.
Bond & Botes has been a bankruptcy law firm for more than 20 years, Our attorneys can explain your rights and help you get a fresh start. Begin now with a FREE initial consultation with a lawyer.