Transfer car title to spouse who is not filing

[cooperdoodle]

Trying to get all of our ducks in a row prior to filing in November. Spouse is filing but I am not. All cc and 2nd home in another state are in his name only. We have 2 cars, we should be able to keep both because of their value. But both are titled in husbands name. One has a loan on it also in his name. Would it be wise to transfer the one that is paid off into my name (wife) and keep the one with a loan under his? We need both but at this point it looks like he has 2 cars and I have none. We don't want to have to lose one because I need it for my job. Trying not to bring my credit down to far. It will be easier for me to rebuild without a bankruptcy on it. By the way we are below our states median income so we are ok with that.


Just a little background. . .

We have 2 homes, one is a small home with small mortgage. We will be living in that one (both our names are on the loan). The other is in another state now finally becoming upside down on mortgage. We have had it for sell for 2.5 years with no buyers. We have renters in it that have now quit paying because they lost their jobs. There is no way we can hang onto this house. Shortsale probably wouldn't work because we are worried about them coming after us for the difference plus we can't make the mortgage payments now as it stands. 3 plant closings and a move out of state have really turned our lives upside down. Plus credit card bills and a IRS monthly tax payment that we won't be able to get rid of, throw in a student loan and a diagnosis of MS and there you go!

Trying to make a clean start of it. Any advice would be appreciated. We will be looking for an attorney to help us. Is it too ealy since we won't be filing until November? We need that few months between now and then because of small credit card purchases, changing title over etc. - Thanks

[frogger]

Do not change/transfer any vehicle titles.

It's never too early to start planning!

Welcome, good luck, and ask the questions.

[HHM]

Worst thing you can do.

[justbroke]

As already stated, but I want to say it another way. Never try to "hide, hinder, defraud or delay" creditors. Moving property around so that the Trustee can't reach it, may be construed to be hiding, hindering... You can do some bankruptcy pre-planning and speak to some attorneys about the property. Additionally, transferring the one paid off, would probably hurt you more than you think anyhow, just from an expense standpoint (you'd get no deduction for it). It would probably be exposed anyhow since the motor vehicle deduction in N.C. is almost as bad as Florida's.

Please seek legal advice before moving any property around.

[dman]

As others have said...check with an attorney! But no, you can't do that. Well, you COULD, but you'll have to disclose it, have a good reason for it...and it'd need to be exempt as though it was still in your husband's name (if he couldn't exempt it...then the transfer is basically undone, and the trustee can sell it if he/she wants).

I'll just say this. Transferring a car from your husband to you would be a no-no. If he sold his car and you bought a different car, that's different. Ask your lawyer about having your husband sell his car, contributing all the proceeds to necessary expenses (rent/mortgage, utility bills, dentist visits, insurance bills, etc.), and you using all of your income to go toward buying a car for yourself.

[cooperdoodle]

Thanks everyone. We aren't trying to defraud or anything. I drive one of the cars but the title just happens to be in his name. Insurance is under my name. So basicallyy I will be losing my car so we would be down to one car for 2 people who work diffeent jobs.

Possibly since you think I can't transferr it ir buy it from him without it seeming ike a fraud, we can let the one that we have the loan on go back to the bank and I will buy one in my own name. - Thanks again