Fishkill, NY Bankruptcy Law Firms & Lawyers

Your lawyer did this wrong.  Should have done a Chapter 7 with a Loan Modification Request.  Ask to convert to Chapter 7.  Otherwise you have to wait 180 days to file.  Might not be a problem depending where you are in the foreclosure process and what other debt you have.

We have to know the entire "asset" picture to answer the question, but generally and almost always the car is not affected by the bankruptcy and you get to keep it. People often ask if they can keep homes, second homes, cars, boats, tax refunds, etc., when they are contemplating Bankruptcy. I always tell them they can keep what they want of they can pay for it, or if the equity or value is protected by an exemption in their State! There are two types of Bankruptcy for most individuals. Chapter 7 (liquidation) and Chapter 13 (payments are made to a Chapter 13 Trustee to be distributed pursuant to a Plan you and your attorney draft). To determine of you get to keep the property you have to know two things. 1) What is the equity in the property? (I.e., what is it worth minus what you owe on it). 2) Will the exemption laws that are applied to the property protect the equity? Bankruptcy is much more concerned with equity than it is with debt. If you have no equity in a rental home the Trustee in a 7 or 13 does not have an interest in the property and you may keep it. If you owe more on the vacation home than it is worth you may be able to use Bankruptcy to reduce the amount of the debt, and again, keep it. When you have equity in something that is not protected by an exemption then that is an issue that a lawyer must evaluate. See an attorney right away before you act.

You are liable for the debt, so just like you are attempting to collect from your ex the creditor is entitled to collect from you. You can negotiate payments or seek bankruptcy protection.