Have you been threatened with repossession of your car? Bankruptcy can help to stop the repossession. If your car already has been repossessed, you may even be able to get it back if you act quickly.
How Bankruptcy Stops Repossession
When you file bankruptcy, an automatic stay goes into effect. This tells creditors that all actions against you must stop, including attempts at car repossession. If you are able to pay back past due car payments and remain current, you may be able to keep your vehicle when you file Chapter 7. Filing Chapter 13 is another option. In this form of bankruptcy, you may be able to include your past due payments in the plan and pay them off over a period of three to five years. You will also need to remain current on your regular monthly payments.
Should You Keep Your Car?
Our goal is to help you overcome your debt problem. To that extent, we are going to be honest with you. If your auto loan exceeds the value of the car or if, based on your income and other expenses, it appears as though keeping current on your car loan payments will continue to be challenging even after your other debts are reduced or eliminated, we will educate you about the option of surrendering the vehicle to the lender so you can purchase a new vehicle that may be more affordable. Another option may be to “redeem” your car from the existing lender with a new loan financed by a specialized bankruptcy auto lender. Ultimately, the decision is yours, but we will make certain you have the tools to make the best decision.
To Learn More About Keeping Your Car In Bankruptcy, Contact Us For A Free Initial Consultation
Working with Balbus Law Firm, you will learn about all of your options. We will help you find the one that makes the most sense for you.
For more information about keeping your car in bankruptcy in a free initial consultation, call 203-286-4121 or email us.
Please note: Balbus Law Firm does not represent consumers in cases alleging wrongful auto repossession outside of bankruptcy.
Balbus Law Firm is a debt relief agency. We help people and businesses in New York and Connecticut file for bankruptcy relief under the Bankruptcy Code.