Can I Keep My Car Or House If I Still Owe Money On Them In A Chapter 7 Bankruptcy?
Maybe. Depending on individual circumstances, if a debtor wishes to keep certain secured property (such as a car or house), he or she may decide to “reaffirm” the debt. That will require you to sign a reaffirmation agreement.
A reaffirmation is an agreement between the debtor and the creditor that the debtor will remain liable and will pay all or a portion of the money owed, even though the debt would otherwise be Continue reading
The purpose of filing bankruptcy is normally to discharge as many dischargable debts. However, not all debts are dischargable. Such as student loans and maintenance. Or, if you decide to reaffirm a debt then it will survive the discharge.
Can My Property Still Be Taken If I Get A Chapter 7 Bankruptcy Discharge?
Yes. Secured creditors may retain some rights to seize property securing an underlying debt even after a discharge is granted. If the property, like a car, was financed and the creditor took a security interest in the property, if money is still owed on the property then it is subject to repossession.
If you want to keep secured property after a Chapter 7 Bankruptcy you need to speak with a Bankruptcy lawyer about a reaffirmation. Continue reading