QUESTION
My car, my only asset, it's worth 2,300 more than my state allows. I was considering taking a title loan to drop the value, will this cause an issue?
Asked on Jun 30th, 2011 on Bankruptcy - Utah
More details to this question:
I'm currently working toward filing chapter 7 with an attorney, and was also hoping to use the money from the loan to pay the attorney fees, since I don't have the money to do that. Until recently, I made approx $500 a month, and it all goes to bills and food. My new job I'll make about $1000 a month, so payments will be easier...and I'm certain I could get the car title loan paid off, but I'm not sure if the courts would see this as me trying to be shady. I really need to keep my car, it's my only way to get to my new job which is about an hour away.
2 ANSWERS
Personal Injury Attorney serving Fall River, MA
at
Botelho & Associates, LLC
Update Your Profile
Your idea is sound. You can take a small loan on the car, use the proceeds of the loan to pay your attorney and filing fees. You would then have to reaffirm that debt, in order to keep the car. If you have more than $200.00 in the bank, the Bankruptcy trustee will take the rest.
Joseph F. Botelho, Esq.
BOTELHO & ASSOCIATES, LLCAttorneys At Lawhttp://massachusettslawyeronline.com/
126 Shove Street Unit 202 Fall River, MA 02724
Office: 888-269-0688Cell: 508-801-6747FAX: 877-475-8147
Answered on Dec 05th, 2011 at 2:35 PM
2 Awards
You could take a title loan against the car, but then you have cash that is not exempt that you will have to explain away, plus an obligation to pay on the car.
Answered on Nov 10th, 2011 at 5:07 PM