surrender a car

[stewdog2020]

I currently pay $603 per month to my bankruptcy for 5 years. This amount includes my car payment. I don't know what happened when I filed but when I try to figure out how much I have left each month after my expenses, I only get about $350. My cousing has a used car he will let me drive if I can turn my current car in and get a lower bankruptcy payment and a lesser lenght of time. Does anyone know if it is possible to turn my car in through the bankruptcy and only pay the difference of what was owed and what they sold it for but also lower my monthly bankruptcy payments?

[lrprn]

Does anyone know if it is possible to turn my car in through the bankruptcy and only pay the difference of what was owed and what they sold it for but also lower my monthly bankruptcy payments?

Did you sign a reaffirmation agreement for the car? What does your Ch 13 lawyer say about this?

[stewdog2020]

haven't check with my lawyer yet. I don't beleive I signed a reaffirmation agreement, but do know the car payment is just included in the chapter 13 payment each month.

[lrprn]

haven't check with my lawyer yet. I don't beleive I signed a reaffirmation agreement, but do know the car payment is just included in the chapter 13 payment each month.

You need to know for sure if there's a reaffirmation agreement on the car or not - that makes a huge difference in this situation. You need to check with your lawyer to be sure, then depending on whether you did or didn't sign an agreement and how long ago your car was purchased, your lawyer can tell you what will happen if you do surrender the car.

[stewdog2020]

check all my paperwork and there is not a reaffirmation agreement for the car. how does that work now. if i go through with this can i get my bankruptcy payments lower? i add all my rent, utilities, insurance, gas, food, clothing and entertainment and i only come up with $350 of disposible income and they had me paying $603 a month to my bankruptcy but that was to pay 100% of the car, would that go down by surrender the car?

[lrprn]

check all my paperwork and there is not a reaffirmation agreement for the car. how does that work now. if i go through with this can i get my bankruptcy payments lower? i add all my rent, utilities, insurance, gas, food, clothing and entertainment and i only come up with $350 of disposible income and they had me paying $603 a month to my bankruptcy but that was to pay 100% of the car, would that go down by surrender the car?

There's really no way to know how surrendering your car might affect your monthly payments. Run this scenario past your lawyer to see what his/her opinion about this is.

If you are surrendering your one secured asset (the car), you *might* qualify to convert to a Ch 7. What's your gross income from all sources been for the last six full calendar months?