Before 2005’s BAPCPA debtors could bring themselves current on their car loan, file bankruptcy, continue payments, and keep their car, both during bankruptcy and after their discharge, so long as they didn’t miss a payment without reaffirming the debt or redeeming the property.
But post-BAPCPA, can you file bankruptcy in California and keep your car without signing a reaffirmation agreement or redeeming the vehicle?
Don’t know what reaffirmation or redemption is in bankruptcy? Then you should definitely call a bankruptcy lawyer.
What if you just make the attempt to reaffirm the debt?
The safest bet is to consult with a bankruptcy attorney if you have a car loan and are considering chapter 7 bankruptcy. However, if you wan’t to file on your own you can puzzle through the following excerpts from the Bankruptcy Code:
11 USC 362(h)
(1) In a case in which the debtor is an individual, the stay provided by subsection (a) is terminated with respect to personal property of the estate or of the debtor securing in whole or in part a claim, or subject to an unexpired lease, and such personal property shall no longer be property of the estate if the debtor fails within the applicable time set by section 521 (a)(2)—