Question about keeping vehicle during Chapter 7

[mangoman39]

I am considering filing for Chapter 7. I currently own a 1994 Jeep Grand Cherokee worth about $3000 according to Edmunds.com. Everything I've seen says that in the state of Florida, where I reside, the maximum my car can be worth and for me to keep it is $1000. So I would assume that I would lose the car. However, there is no way this car is worth $3000. The mileage is higher than the odometer states because it only moves 8/10 of a mile for each mile I move. There is no air conditioning (in Florida...ugh). There a problem with the emissions sensors that makes it stall sometimes at red lights or stop signs. Also, the interior and exterior of the Jeep are both in fairly rough shape. I guess my question is, does the court go strictly by the blue book value, or will they take into consideration the actual resale value of the car. Can I take it somewhere like Carmax to get it appraised and submit that to the court? Any help would be appreciated.

[butterflyness]

Does KBB report the same value as edmunds.com? I know my lawyer had me go to KBB, then i reaffirmed to keep my car

[quest42]

www.kbb.com lets you put in the vehicle condition (poor, fair, good...) and also the exact equipment details: engine, transmission, a/c, radio, cd, ... accessories to come up with a valuation.

Maybe you can even deduct "deferred maintenance?"

I suppose it depends on whatever your trustee will accept as an "appraisal" at your 341 meeting???

[mangoman39]

The problem with reaffirming, is that I own the car outright. I called a dealership and explained everything and they said that the car is unsellable because of the problem with the odometer. Since the whole point of taking the car is to sell it, if it is ruled unsellable, doesn't that mean they wouldn't bother taking it? I really feel like I need to file Chapter 7 now because I am expecting a rather significant raise in the next year. If I file chapter 13, right now my payments would be pretty meager and definitely doable. However, after I get the raise I will be expected to pay nearly 7 times as much money each month to the trustee. I really don't want to work my butt off to get a raise only to have all that money disappear, so I am trying to find any way possible to keep this car. PLEASE HELP!!!

[AMISLANDER]

Also own my car outright in FL

I filed Ch.7 prior to the changeover for new laws and I own my 2000 4Runner SRV. It needs some repairs (new catalytic converters, new power antenna, dents in each side of the rear bumper, matching, and a bang in the back where I backed into something that looks like it requires a new panel just because of the location...). I've got to get a value on my car before my 341 (11/15) so that if I get asked about it...my car's value is down to around $3K and my mother has a lien on the title from last October.

My case is listed as a no asset. I have no idea what's going to actually going to happen when I go in...I'll have all my paperwork plus title work.

If I'd have known I was going to file BK, I wouldn't have paid off the car. I'm surely not going to buy a car back I already own. At the KBB value of $6,650 for it's current condition, minus repairs of $3K plus the $1K exemption I'm somewhere in the 2,000 range for the worth of the vehicle...do they really want another SUV gas guzzler that needs repairs...I don't think so and am banking on that one....

I haven't known of anyone else on here that has gone through this yet...

[mangoman39]

Another thing that I have noticed is the very large difference in "retail value" according to the different appraisal sites. KBB.com says $6050. Edmunds.com says $3339 and $3425.

[AMISLANDER]

oh yeah...there's all kinds of pricing.

Just depends where you look. I think the most important thing is getting a couple of reports maybe one from carmax, one from the dealer and having that ready and available when you go for your 341.

[FLGirl]

I am in Florida and my trustee sent a letter requesting the usual documents to be sent to him and when it comes to the car, it said that he uses the RETAIL value of the car from KBB, and that if your vehicle needs repairs (mechanical or body) that would affect the value of the car, that you may submit detailed written estimates for that work. That is what I am doing as I also own my car outright and although I thought it was trade-in value (mine's showing as $425 for fair condition, high mileage) he now says he uses Retail which mine is like $3200! Quite the difference and I'm freaking out. My attorney said that he is not that concerned and that the Trustee does NOT have the last word but the judge does, and he thinks he can fight using retail value. Dunno... I'm nervous as hell and now that may just dip into my exemptions that I NEED for cash I had in the bank. This is a living nightmare for me. It is ridiculous to have to buy back part of something you already paid for! Oh and the letter said that estimates from Carmax and other such places are not accepted (funny because a lawyer I consulted with last year instructed me to get a Carmax estimate "what would you give me for my car right now?"

Also, it seems FLORIDA is the WORST place on the continent to file bankruptcy with their measley exemptions. I would have been GOLDEN had I filed in my home state of New York.... Why this isn't uniform is beyond me...

[AAAArt]

Also, it seems FLORIDA is the WORST place on the continent to file bankruptcy with their measley exemptions. I would have been GOLDEN had I filed in my home state of New York.... Why this isn't uniform is beyond me...

That would be the ideal, but they would prolly all wind up VERY LOW!!!
Also, being quite realistic, some places are just more expensive to live than others. that's why the IRS schedules are not only by state, but by county.