Will I lose my car if I file for bankruptcy?
Bankruptcy is scary for most people; therefore, the worry of losing your car if you file for bankruptcy is justified. Our Bankruptcy chapter 7 Mobile AL attorneys from Loris Law Firm can help put your fears to rest. Various factors determine whether you get to keep your car or loss it during bankruptcy. The type of bankruptcy you file is among the factors that determine if you can keep your car. There are usually two options for you, filing under chapter 7 or 13. Additionally, the status of your car loan payments and the type of equity will be among the determining factors.
Our Bankruptcy chapter 7 Mobile AL attorneys are well aware of the advantages of filing either type of bankruptcy, whether chapter 7 or 13; hence we will offer you advice best suited for your situation. For chapter 7 bankruptcy before any further steps are taken in your case, through the able guidance of our attorneys, we first ensure that you meet the test for a chapter 7 bankruptcy. If you are up to date on your car loan payment or paid it off, you will have met the first test. If the value of your car is higher than the amount owed on the car loan, hence giving you equity, you have a higher possibility of an exemption during bankruptcy. Having met the crucial part of the test, our attorney from Loris Law Firm will advise you why filing Chapter 7 bankruptcy is the best option. Statistics have shown that most people who choose to file for chapter 7 bankruptcy get to keep properties like their car, and with the help of our attorneys, you can be among the lucky ones.
Both chapter 7 and 13 have a test that you need to meet if you are filing bankruptcy in either. Understanding the necessary test requires knowledge on bankruptcy laws; hence acting on your own might lead to losing your car. Working with an attorney from Loris Law Firm gives you the confidence you need knowing you are filing the right bankruptcy.