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Leased Equipment

Excellent information site.

I have a laptop worth several thousand dollars that is used in my work. There are only 3 or 4 lease payments left on it.

If I declare bankruptcy now (before the lease is paid up)what are the effects of this course of action. Can I continue to pay the lease payments ? Will the leasing company try to reposess the laptop ? (not a good thing since I have mostly paid for it)

Thank you for your time

One Response to “Leased Equipment”

Barton Goth, GCO Inc. Bankruptcy Trustees said...

While there is always the possibility that a lease may be called in upon the filing of a bankruptcy, as long as you are currently up to date on the lease payments, most lenders will be happy to have you continue to make payments on the property. I always recommend that you contact the lease holder directly prior to filing a bankruptcy, inform them of your intention to keep the computer, warn them of the impending bankruptcy. This way you will avoid any potential knee jerk reaction on behalf of the lender when they receive copies of the bankruptcy documents.