car lease up during bankruptcy

June 1st, 2008 by Questions

I filed for bankruptcy 6 months ago and my lease is up at the end of june. I wanted to get into a more economical fuel effecient vehicle. The buy out on my vehicle is 15990 and the over km payment to the dealer is 10990. I have asked to keep the vehicle and continue to make the payments however they will not allow me to. I have checked with other bankruptcy lending institutions and they will give me another vehicle but will only do so if the leased vehicle is out of the picture. They suggested that I now include the remaining 10990 as part of the bankruptcy. Can this be done?

Posted from: Ontario


One Response to “car lease up during bankruptcy”

, A licensed trustee said:

If you have continued to make lease payments and use the car during your bankruptcy then you will not be able to retro-actively decide to return the car and include the debt in the procedure 6 months later.

Sorry, but by continuing to use the car and make your payments you have excluded the lease from your bankruptcy procedure.

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