repossess your car<\/a> if you fall behind on payments. \u00a0After they repossess your car they will add fees related to the repossession and other costs to the outstanding balance. \u00a0If you do not pay this amount they will eventually sue you for the “deficiency balance” and later pursue wage garnishment or bank levy.<\/p>\nBy filing bankruptcy after repossession you can discharge the “deficiency balance” and all debt related to the repossession. \u00a0However, you can also preempt this entire process by filing bankruptcy before your car is repossessed.<\/p>\n
In chapter 7 bankruptcy you can surrender your vehicle and discharge the car loan. \u00a0When surrendering your vehicle you will turn over your car to the lender. \u00a0Once your car loan is discharged in bankruptcy you will no longer have the legal responsibility for\u00a0repaying the car loan. \u00a0In brief, by surrendering your car in bankruptcy you are simply “walking away” from the car and any associated debt.<\/p>\n
If you are unsure whether you should surrender, reaffirm or redeem your car in bankruptcy you should speak with a bankruptcy lawyer. \u00a0Each of these options have their own advantages and disadvantages, and each entails a different process. \u00a0A bankruptcy lawyer can explain the process and help you make a decision that makes sense for your long-term financial goals. \u00a0Many times it is advisable to surrender a car in bankruptcy, but if your\u00a0car is underwater but in good working condition redemption may be beneficial. \u00a0To get help making this decision and learn more about surrendering your vehicle contact our\u00a0bankruptcy lawyer by calling\u00a0the phone number at the top of the page.<\/p>\n","protected":false},"excerpt":{"rendered":"
Many clients\u00a0turn to chapter 7 bankruptcy because they are behind on car payments. \u00a0Fortunately, chapter 7 bankruptcy gives clients the power to eliminate car loans and simply walk away from their vehicle. Outside of bankruptcy a lender will eventually repossess your car if you fall behind on payments. \u00a0After they repossess your car they will […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","footnotes":""},"categories":[1],"tags":[],"_links":{"self":[{"href":"https:\/\/sacramentobankruptcylawyer.us\/wp-json\/wp\/v2\/posts\/1548"}],"collection":[{"href":"https:\/\/sacramentobankruptcylawyer.us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/sacramentobankruptcylawyer.us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/sacramentobankruptcylawyer.us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/sacramentobankruptcylawyer.us\/wp-json\/wp\/v2\/comments?post=1548"}],"version-history":[{"count":0,"href":"https:\/\/sacramentobankruptcylawyer.us\/wp-json\/wp\/v2\/posts\/1548\/revisions"}],"wp:attachment":[{"href":"https:\/\/sacramentobankruptcylawyer.us\/wp-json\/wp\/v2\/media?parent=1548"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/sacramentobankruptcylawyer.us\/wp-json\/wp\/v2\/categories?post=1548"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/sacramentobankruptcylawyer.us\/wp-json\/wp\/v2\/tags?post=1548"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}