Buying a Vehicle

October 26th, 2009 by Questions

I will be declaring bankruptcy in a month or so but I am planning to buy a car with a loan from a dealer. The car`s value is $8,000 and I will be making monthly payments towards the loan. Will I be allowed to own this car even though the value is more than the allowed amount? Will I be allowed to make payments for the car even though I am not paying to any other creditor? Thank you.

Posted from: Ontario


One Response to “Buying a Vehicle”

, Barton Goth - Goth & Company Inc. -Trustee in Bankruptcy said:

You should not have a problem with this plan. What is important is equity not value. As long as the equity in the vehicle is less than the amount allowed by the provincial exemptions.

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