Q: I have a car that I just got out of repo. Made a few months pay on it. Can I file chapter 7 and not make this payment
Will they take the car or is it protected by bankruptcy?
A: If you don’t make the payment they will ultimately take it but it is temporarily protected by the automatic stay. If you want to keep the car, keep paying for it. If you don’t want the car, stop paying for it.
A: With vehicles in a Chapter 7 bankruptcy, you must inform your creditor of your intent to either keep or surrender the vehicle. That document is called a Statement of Intention. If you are not current at the time you file or if you later become delinquent on the vehicle during the bankruptcy, the creditor may seek to recover the vehicle by filing a motion for relief from stay. You probably just need to be clear with what you wish to do and then your attorney can handle the matter from there. Thank you. Ken Sheppard, Jr.
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