QUESTION
If I file for bankruptcy can me and my wife keep both our cars and home? How?
Asked on Jun 19th, 2015 on Bankruptcy - Michigan
More details to this question:
Me and my wife lost our jobs 6 months ago and we have maxed out our credit cards and our savings are totally gone. If we file for bankruptcy can we lose our cars and home?
6 ANSWERS
Yes, under most circumstances. You might be able to do a 721 redemption on the cars, saving you thousands of dollars. Meet with an experienced BK lawyer to discuss all of your options.
Answered on Jun 24th, 2015 at 1:58 AM
Deborah F. Bowinski
If you are able to maintain your loan payments, and if you do not have too much equity in your home and your cars, then you should be able to keep them even while filing for bankruptcy. Bankruptcy can be quite complicated, and if you are hoping to keep some of your assets you would be well-advised to find an experienced bankruptcy lawyer to hire who can guide you through the process.
Answered on Jun 22nd, 2015 at 4:11 PM
Exemption laws are available to protect some or all of your equity in your cars and your vehicles, and since you did not indicate how much equity is in these assets, I cannot guarantee you will be able to keep these assets. What is more troubling is your comment that you maxed out your credit cards during the last 6 months when you had to know you couldn't pay for them. Doing this may have seemed necessary, but the law calls it FRAUD and it can send you to prison.
Answered on Jun 19th, 2015 at 5:15 PM
Bankruptcy Attorney serving Madison, WI
at
Richard B. Jacobson & Associates, LLC
Update Your Profile
It is a real possibility. Often your lawyer can negotiate a 'reaffirmation' agreement with a secured creditor, in which you renew your pre-bankruptcy promise to pay, and the lender lets you keep the car so long as you are making payments. Same with you mortgage but be very very careful in deciding about reaffirming a debt, especially on your home, because if you later default on payments, you will be liable for the full balance of the loan at that time, rather than just losing the home. Find an experienced bankruptcy lawyer; it's almost always worth the investment.
Answered on Jun 19th, 2015 at 11:11 AM
Commercial & Bankruptcy Law Attorney serving Powell, OH
at
Ronald K. Nims
Update Your Profile
Bankruptcy usually helps a person retain their car. BUT you'll still have the make the payments, if your unemployed and have no savings; how would you make the payments? The time to file is after you've got a new job. Then all the debts from your spell of unemployment will be included.
Answered on Jun 19th, 2015 at 9:35 AM
Bankruptcy Attorney serving Livonia, MI
at
Charles J. Schneider, P.C.
Update Your Profile
You do so by exempting them. Exemptions are a discussion involving the values of the cars and home, their liens, how they are held and whatever else you own and want to keep. Too much time for an email sound bite to discuss.
Answered on Jun 19th, 2015 at 9:14 AM