Including vehicle on Chapter 13

[nojusticehere]

I have listed my vehicle in the bk, but will be paying it outside of the 13, straight to the lender. Reason being is because there is a "co-owner/co-debtor" on the loan. I chose this route so that he would be protected.

[kmb]

I don't think it matters, unless your car payments are above what would be considered the norm or average. I believe the IRS and BK code have documentation on what is reasonable. We have an '04 and '06 and both of our payments are under $500/month and we didn't have an issue keeping either car. That being said, if you're driving a luxury car and paying a ton of money, your trustee might pitch a fit.

[wayne-o]

I know it varies from district to district, but my trustee did not charge his fee for payments to secured creditors ie; mortgage, mortgage arrears, and car. He only charge fee for payments to unsecured creditors. I paid almost 65000 into my 13 over the 3 year life, but trustee only got about 1200. This was roughly 10% of what was aid to my unsecureds.

[stljohn]

Well, if you want to be "accurate" then you ought to take a gander at section 521 of the BK code.



And so there is no confusion, the BK Code defines creditor as (Section 101(10)(A)) "An entity that has a claim against the debtor that arose at the time of or before the order for relief concerning the debtor;"

Not sure there is really any ambiguity in those sections about the Debtor's duty to list ALL liabilities.

You are correct, that the main practical consequence is that the debtor is not protected from that debt, but lets be clear, it is a violation of a debtor's duty under the BK code to intentionally omit creditors from their BK which, conceivably, could result in a dismissal of the BK.

Well I'm not a lawyer but... "SHALL" doesn't mean
"MUST" or "REQUIRED", IMO.

The point of the BK is to gain protection from creditor(s), if you chose not to include a debt I don't see why the court would care. The court wants to know whose feet to hold to the fire, there is no deception.

And I reiterate I left 2 debts out and my lawyer said if that's what you want. Not to mention the many debtors make the decision whether or not to include a house or a car in bk.

Actually wish I had included all my debts and saved a couple of dollars but there was still some part of me feeling guilty about filing.

peace

[Cali]

I don't think it matters, unless your car payments are above what would be considered the norm or average. I believe the IRS and BK code have documentation on what is reasonable. We have an '04 and '06 and both of our payments are under $500/month and we didn't have an issue keeping either car. That being said, if you're driving a luxury car and paying a ton of money, your trustee might pitch a fit.

Both of my vehicles would be considered luxury. I am current on the payments and I want to keep them. Since one is almost paid off and the other will be paid off the year after.