Q: I elected for a motion to redeem my auto. Can i still trade in the car since I won't owe on it either way?
I am thinking about just getting a new car instead of trying to salvage and fight for this one. There are too many repairs that need to be done on top of whatever amount is decided as the lump sum payout. Am I legally allowed to trade in the car to help get into a new one? Won't the new car people just pay off what is owed on the car to the old loan provider and then they will be happy and the debt is still discharged on my end (for the old car) since it was apart of my Chapter 7 bankruptcy?
A: Assuming that you claimed the car as being exempt in the bankruptcy, sure; you are free to trade it in, if a lender will approve a new car loan.
A: You would be better off surrendering your vehicle. By trading in your car, you will be inheriting the remaining secured debt on the loan in the new loan you take out on the new car.
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