Yes, bankruptcy will give you several options with respect to the vehicle. You can reaffirm the debt, which means you keep making the payments until the car is paid off, under a new agreement which will deal with the past due amounts that you owe. Or, if the vehicle is worth less than you owe, you can do a redemption in a Chapter 7 case and payoff the vehicle at its fair market value in a lump sum. Or, of course, you can "surrender" the vehicle by giving it back and not owing anything further.

You should discuss your options with a bankruptcy attorney in your area.

Mark J. Markus, Attorney at Law

Handling exclusively bankruptcy law cases in California since 1991.

http://www.bklaw.com/

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