Keeping car in Chapter 7

[downtowngirl]

Hi-

I am getting ready to dile CH. 7 and I have a question about keeping my car. The car is financed in my husband's name (primary) and I co-signed. We have been late on a few payments but we keep on paying regularly since it is our only car. How do they determine how much a car is worth in bankrupcy proceedings? Can I just leave it out of bankrupcy?

Thanks

[DebtEnder]

All debts owed, even those not on record, like family debts, must be listed. Keeping a car in chapter 7 is often not that tough assuming the car has no real value once you account for what is owed.

It's called re-affirming, or as some people like to try is ride-thru, you say you re-affirm, never sign the papers but keep paying. Advantage is you are not on the hook if you ever need to get rid of the car as all they can do is take the car if you stop paying, they can't come after you for any unpaid balance.

Disadvantage is there are only a few states that have laws that allow you to legally do this, others you just have to hope they don't repo it to make you an example to force other to sign themselves back into debt.

As far as value many people use http://www.kbb.com/

I've heard some trustees however like to use the RETAIL value of a car to determine value, which is dumb as there is no way your old used car will sell for retail

[downtowngirl]

I live in Illinois if that helps...do they allow ride-throughs here?