Free Consultation

car payment in bankruptcy

If in January2008, I buy a car of $5000CAD before bankruptcy and the downpayment is $2000, the rest of $3000CAD is financed over 3 year term. In February2008, I file bankruptcy, and then i will be in a 9 month period of bankruptcy for my first bankruptcy, May I still keep this car and make regular monthly car payment?

One Response to “car payment in bankruptcy”

A licensed trustee said...

Assuming the finance company properly registers a lien on the car when you purchase it, then it will be up to the finance company to decide whether or not they will allow you to continue to make payments and keep the car. Your trustee will not have any interest in the car and therefore cannot take it from you.