There are a lot of different details and stipulations that come along with filing for bankruptcy. Chances are, you have a lot of questions regarding what is going to happen. These questions should be directed towards your bankruptcy attorney in Pittsburgh for the most accurate answers. Chapter 7 bankruptcy will require you to turn over all of your assets so they can be turned into cash. That cash will be distributed to all of the different lenders that you owe money to. The entire process typically takes about four months for all of the debt to clear. When it comes to your vehicle, you’re probably wondering if you can retain that. The answer is usually pretty clear. Your attorney can help you get clarification.
Your Vehicle and Your Home
When you have filed for chapter 7, your vehicle and your home are safe. The liquidation of your assets will be necessary, but the laws are designed to protect you to some degree. If you’re filing for bankruptcy, chances are you don’t own a large home or expensive vehicle. There isn’t usually enough money in these items that makes it worth it to recoup your losses.
The payments for your vehicle must be current in order for you to retain your vehicle through this bankruptcy process. Money can still be owed on your vehicle loan, but you will have to continue staying up-to-date on your payments in order to keep your vehicle. If you end up falling behind on this as well, your lender has the option to come after you for late payments. They can also repossess your vehicle if you fall enough behind and they deem it necessary. In order to remain in good standing with your attorney and bank, you’ll want to keep going to your appointments and court dates that have been scheduled for you. Make sure you are providing all of the necessary information that is requested and stay current with your information. A fresh start is possible if you go through this process with the assistance of a trusted attorney.