$2,500 car

[helpmeJC]

Wife and I will file joint Chapt 7 soon in WA State.

Our two cars have loans and will most likely go back to the bank

I have a 14x7 cargo trailer fully paid for worth about $2,500

Can I trade this in or sell it, then buy a 2,500 car BEFORE I file a BK,
will I have a exempt car then?

Am I in trouble if I sell an asset to purchase a car that will then be exempt?

WA State Motor Vehicle Exemption:
$2,500 in value of any one motor vehicle listed in your bankruptcy. Additionally, if you file the bankruptcy with a spouse you can use both vehicle exemptions to protect up to $5,000 in vehicle equity as long as both you and your spouse are on the title to the car.

[One Half Full]

I let them take my car and then bought a 2000.00 car. It's my only car, so I am pretty sure they won't be taking it. Within legal reason you are allowed to prepare in advance for Bk. If you know you will be losing your car it is in your best interest to get one. Watch out though, 2,500. 00 will not buy you much of a car. The way I did it was walk in with cash in hand and tell them I would not leave with out a car. They liked the cash, so lowered the price they were going to sell one for. It was a pretty nice government car but with a lot of miles. I had to get 700.00 worth of repairs a short time later, but it has worked well since. Caviat Emptor.

[helpmeJC]

I am about ready to file chapter 7. I already paid my atty in full and gave my paperwork to the atty.

This morning one of my cars was repo'd. I want to buy a used car now. How is the value of a car determined. Is the value exactly what you paid for it? or do they go by the KBB or NADA guide value? Which category then? wholesale, private sale, retail?