can filing give relief to an upside down car loan?

[sna66]

I'm 8-10 grand upside in a car lon and considering ch 7. i was wondering if it will be able to get me out of this situation.

[justbroke]

Yes, it could. However, what's your total financial picture? I wouldn't use Bankruptcy just to stave off the collection of only $8-10K in a deficiency from a car repossession. While you could do it, it would be like using a bazooka to kill a fly.

[sna66]

well the car is the least of my worries, theres alot of cc debt, divorce, forclosure etc etc- (see my other post) just wondering if this issue can be addressed with ch 7 also

[justbroke]

Yes, you can surrender the car and be done with it!

[sna66]

cool, but i wanted to keep it, is cramdown and option with ch 7?

[keepmine]

No cramdown in a 7 but, a 722 redemption may work.

https://www.722redemption.com

[aces67]

722 redemption only works in certain states though. What kind of car is it? How much do you owe on it?

You may be better off to file and surrender it and get you something else to drive.

[aljohnson007]

If you are that far upside down, doubt if any attorney would sign off on a reaffirm and if the attorney didn't, the judge surely would not also. Without the complete picture of your financial situation, don't think you can find a definitive answer here.

[sna66]

im in florida, the car is a 2004 inifiniti g35 sedan, worth abt 12000 and i owe about 19000, my mthy pmt is 490, income is 1900 mthly, havbe abt 15k unsecure debt

[backtoschool]

No bankruptcy judge is going to let you keep a car with a $490 monthly payment when you have $1900 monthly income. Your car payment most likely will not get reaffirmed.

I also don't think you will get approved through 722 redemption at a rate and principal that is significantly lower than what you are already paying.

How long have you had the car? If you have owned the car for 910 days you might be able to cram down the loan in a chapter 13.

[sna66]

i really wanna go the ch7 route, and i've had the car 2.5 yrs already, im considering getting rid of the car and saving for a 2000 g20 that i can get for about 3500, maybe i can use tax return to buy it