Can I Keep My Car?

For many people, a vehicle is an absolutely vital possession. You may depend on your car to drive to work, run errands and get around town. So the prospect of losing your car in Chapter 7 or Chapter 13 bankruptcy can be daunting.

In many cases, you can keep your car in bankruptcy, depending on where you live, your loan status and how much the car is worth. At Nowack & Olson, we can advise you of your rights during bankruptcy, as well as your options for keeping your vehicle.

What if I have a car loan?

If you have car loan debt, your options depend on whether you are up-to-date on your payments. If you wish to maintain ownership of your vehicle, you must continue making those payments.

Your lender likely has a security interest in your vehicle, which is typically not changed by a bankruptcy proceeding. The bankruptcy trustee only cares how much equity is in the car. If you have equity, the Florida state bankruptcy exemptions will guide you.

Typically, an active Chapter 7 bankruptcy prevents a lender from repossessing a car or otherwise trying to collect on the debt. However, the court may grant the lender permission to repossess. For this reason, it is essential to work with a knowledgeable bankruptcy attorney who knows how to protect your car and other belongings.

Let's Talk About Your Options

Call Nowack & Olson In Fort Lauderdale, Miami And Palm Beach

Our lawyers are here to help you understand your rights and options in bankruptcy, then guide you through the process in a way that works for you. Please call 888-813-4737 to learn more.