In Chapter 13 bankruptcy, you will probably be able to keep your car (with exception for luxurious car) if you stay current on your car payments. Chapter 13 also allows you to cure your default on your car loan. In Chapter 7 bankruptcy, it depends on the value of your car and the state where you live. For example, in Arizona a value up to $6,000 (after deducting any car loan balance) is exempt from creditors. Call us at 480-425-2009 or contact us via email schedule a CONSULTATION, and we will help you determine if bankruptcy option is right for you.
Click here to see how Chapter 7 and 13 bankruptcies differ.