Did chap 13 force you to give up any of your cars???

[253BK]

We have 2 newer cars that have good rates but paymetns are higher one at 669 and one at 1100$ did the trustee make you give up either of your cars? Reason for asking is do I need to be looking for something else soon?

We can afford to keep paying the car payments not that I want to but I have to be able to get around and somewhat in style due to my job in real estate! A junker is out of the question! LOL

Let me know your thoughts

[lrprn]

We did not have to give up our cars when we filed Ch 13. Both were worth a little more than what we owed when we filed.

[253BK]

Ok great! I am hoping that will be the case with us the payments are high but the rates are pretty good! Something I will never see again LOL oh well! Life throws ya curveballs gotta deal with them!

[biotechsolution]

I don't think it matters if there is equity in the cars but I'm not sure if you are allowed auto expenses above what you get in the means test. $485 or so for the 1st car and $200 or so for the second car. I don't think you'll be allowed secured payments of over $1700 for autos. If that was the case why wouldn't everyone go out and purchase a car with a payment of $2000 grand and use it has an expense to count against disposable income. I'm pretty sure you'll be limiting on how much you can expense for autos in your disposable income calculations.

Now if your debt is classified has non-consumer you wont have to use form B22 and you can just use the schedules. It will all hinge on whether the trustee and court will allow car payments that large.

[woeisme]

Different areas have different limits for car expenses, but there are definitel limits and I think both of your cars are over the limit for most regions of the country, if not all. You might be able to convince them that one is needed as a business expense, but two cars that are higher than my morgage payment??? I seriously doubt it! Sorry, but I don't think they are that flexible on going over the IRS tables for standard expenses.

[vleisme]

I was told if there was equity above the allowed exemption they can either make you liquidate or pay into the plan as much as the value of the equity. We had paid off our car with a HELOC a year before we filed and we ended up selling it and paying the money towards the HELOC before we filed to avoid paying the amount the car was worth (Blue Book) into the plan.