Many Kenosha residents fear filing for bankruptcy because they are afraid they will lose their car or truck when filing a Kenosha Chapter 7 Bankruptcy. This is a topic brought up often during our initial bankruptcy consultations. The truth is that you can keep your vehicle as long as you meet certain bankruptcy criteria. Most people who qualify to file a Kenosha Chapter 7 Bankruptcy will also qualify to keep their car or truck.
If I Own My Car or Truck, Will I Lose It When Filing a Kenosha Chapter 7 Bankruptcy?
The answer to this is most likely, “No”. Wisconsin bankruptcy law protects the equity in your car or truck when filing a Kenosha Chapter 7 Bankruptcy. If the equity in your car or truck is less than the Wisconsin bankruptcy law vehicle exemption, then the trustee cannot sell your car or truck to repay any of your debts. Wisconsin bankruptcy law allows you to exempt up to $5000 in equity for any vehicle you own. Married couples are allowed to double this exemption amount. Wisconsin bankruptcy law also allows you to exempt us to $12,000 in personal property, including a motor vehicle. Again, married couples can double this exemption amount. This means any vehicle equity balance that the Wisconsin bankruptcy vehicle exemption law did not cover (any equity amount over $5000 if single/$10,000 if married), can be covered in the personal property exemption.
If I Pay on a Loan, Will I Lose My Car or Truck When Filing a Kenosha Chapter 7 Bankruptcy?
The answer to this question is also most likely, “No”. If you qualify to file a Kenosha Chapter 7 Bankruptcy, you will have the opportunity to choose which secure debts you wish to keep and which secure debts you want to eliminate. If you wish to keep your car or truck, you will have to reaffirm the debt. Reaffirming the debt means you agree to pay the creditor the amount owed according to the original loan agreement. In other words, you agree to keep paying the bank the monthly payments you owe on your car or truck loan. There are always certain exceptions involved, so it is best to contact our Kenosha Chapter 7 Bankruptcy lawyer to discuss your current financial situation and assets.
Should I file a Kenosha Chapter 7 Bankruptcy?
This question can only be answered by a qualified and experienced Kenosha Chapter 7 Bankruptcy Lawyer. Our bankruptcy lawyer will need to address your current assets as well as your secured and non-secured debt. You will also be subjected to a Means Test. The Means Test will determine if you legally qualify to file a Kenosha Chapter 7 Bankruptcy. A free consultation with our Kenosha Chapter 7 Bankruptcy lawyer will help you determine which course of action is right for you. There are several different options available for those struggling financially. Contact our Kenosha bankruptcy law office in Salem, Wisconsin today by phone at 262-725-0175 or by email via our bankruptcy page to find out if a Kenosha Chapter 7 Bankruptcy is the right option for you.
*The content and material on this web page is for informational purposes only and does not constitute legal advice.
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