Can I keep my car during a Chapter 11 bankruptcy?

In California, whether you can keep your car during a Chapter 11 bankruptcy depends on many factors, including the type of car you own and the amount of equity you have in it. Generally speaking, if you have equity in your car, you may be able to keep it by agreeing to pay a certain amount each month to the bankruptcy trustee. This is known as “reaffirming” the car loan, and you will be responsible for any missed payments. If you do not have equity in your car, you may be able to keep your car if it is worth less than a certain amount. This is known as the “vehicle exemption,” which allows you to exempt up to $2,510 if your car is worth less than that amount. However, if your car is worth more than $2,510, it is possible that the bankruptcy trustee will sell it in order to pay back your debts. The best way to find out if you can keep your car during a Chapter 11 bankruptcy is to speak with a bankruptcy attorney who is familiar with the requirements of California law. They can go over the details of your case and help you decide if it is possible to keep your vehicle.

Related FAQs

Can I keep my car during a Chapter 11 bankruptcy?

Related FAQs

Related Blog Posts