How is Vehicle Value Calculated?

[ERue]

Our truck is a 2001 Ford Escape...I doubt highly that it's really worth as much as what KBB is saying that it is.
It would suck if they made us buy it back because we didn't actually buy it! It was our Christmas present for the last two years from my ILs.

[Willy13]

Good responses! Thanks for all the replies. I have a co-owner on my car also. I don't want them to get screwed on the value of their half the car. I think with the $6000 wild card in my state, I should be ok with the car. The big variable is the how they will value my other property and how that will eat up my other exemptions. Thanks again

[StartingOver08]

Good question! I don't know. Since our exemption is so low our only real choices are reaffirm, surrender or redeem.....Maybe someone here has had your experience.

[Willy13]

So when the Trustee sticks you with Retail but lets say he doesn't sell the car for that. Say your exemption is $6000 and you give the trustee a value of $6000 for your car. The Trustee says it is worth $10000 retail. You refuse to buy it back for $4000 and tell him to keep it. Now lets say the trustee sells the car but only get $5000 at auction. Does the Trustee only pay you $5000 or is he still obligated to give you the full $6000?

[optimistic1]

My attorney told me that the lender gets involved somehow, but for the most part he told me it is Private Party Value, and I personally would just give it Fair condition if it is 4 years old, or older.

[Willy13]

I think they make us use the retail value on the vehicles because here we only have $1000 vehicle exemption - so if you own your car outright, you would have to 'buy back' your own vehicle from the Trustee for any value over the exemption amount.

Wow that was a fast reply

OK I see what you are saying.

[StartingOver08]

I think they make us use the retail value on the vehicles because here we only have $1000 vehicle exemption - so if you own your car outright, you would have to 'buy back' your own vehicle from the Trustee for any value over the exemption amount.

BTW, it was our TRUSTEE that said it is retail value. Of course its to the Trustee's benefit to make it retail.

[Willy13]

That was me...turns out that they make us use NADA RETAIL value - no matter the conditon. I suppose you could just argue the condition with the court if you were going to keep the car...I just surrendered that car, it was upside down by ALL the various values!

I was wondering when determining the value, does it make any difference if you own a car outright as opposed to still making payments on it? If there is a situation where you may need to reaffirm a loan, I could then see where they may want to use retail so the loan company doesn't lose money. Don't know if thsat makes any sense because I don't know how they could try and claim retail on most used cars a few years old.

[StartingOver08]

I hope thats how it will be in my case. There was a person in Florida on here that they tried to stick with Retail I think. I guess it depends on how big an A** your trustee wants to be.

That was me...turns out that they make us use NADA RETAIL value - no matter the conditon. I suppose you could just argue the condition with the court if you were going to keep the car...I just surrendered that car, it was upside down by ALL the various values!

[santadawg]

I agree Jeb

[Willy13]

Our attorney used KBB "Fair" Values for Private Party. We used "Good" when I was gathering my information together to take to them, because they are both 2007 models. They said they always use "Fair". We are upside down either way because they are so new.

I hope thats how it will be in my case. There was a person in Florida on here that they tried to stick with Retail I think. I guess it depends on how big an A** your trustee wants to be.

[jeb]

In this market, how does KBB values hold up?

They don't seem to be much different that what I saw a year ago when I pulled it up for my car?

The value they are placing just doesn't seem realistic. Used cars are selling at much less than the prices asked for them - the KBB value - and, at auction, are much less for the same vehicle. - jb

[katie]

Our attorney used KBB "Fair" Values for Private Party. We used "Good" when I was gathering my information together to take to them, because they are both 2007 models. They said they always use "Fair". We are upside down either way because they are so new.

[Willy13]

The problem with KBB is there is Trade in Value, Private party Value, and Retail. Under Trade In and Private you have condition states like Fair, Good, and Excellant. I guess it really depends on your district which you use because some people say they had to use Retail, some used Private, and some used Trade in. Big difference in values between those.

[PoorGrammyinBK7]

We looked ours up on KBB, Edmunds and NADA and I think we took the Edmunds private party. But I don't think we could even sell them for the trade values, being that they are both gas guzzlers. We had tried, several months before we even knew we would be filing, to sell one - because we didn't need it - and no luck at all.