June 22nd, 2009 by Questions
I am thinking of going bankrupt i have over $5,000 in debt but i am still making car payment on my loan can they take my car
Posted from: Ontario
June 23, 2009 at 8:36 am, Barton Goth - Goth & Company Inc. -Trustee in Bankruptcy said:
When filing either a bankruptcy or a consumer proposal you are really dealing with your unsecured creditors. As a result with most institutions as long as you are up to date on the payments and the equity value of the care (market value less loan against vehicle) is less than the exemption limit in your province, then you can typically continue to make the payments on the vehicle and retain that vehicle.
This is technically up to the lender, as you need their cooperation, but if you contact a local trustee they will be able to advise you how the institution that does your financing typically reacts to a bankruptcy filing.
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