Automobiles

[PolishMan]

I just received a packet of information from the lawyer I am planning on meeting next week.
A friend of mine used them for their bankruptcy . I am planning on filing chapter 7 in the next couple of months and want to get everything lined up.

I am filing by myself without the wife being part of it. The question I have is : I have one vehicle a 1995 Ford ranger in my name and she has a 2002 minivan ( $3000.00 ) 1986 VW $ 500.00 ) , 1985 GMC van doesnt run 1000.00 ) 1982 Dodge colt ( $200.00 ) in her name.

Do I need to even list these if she is not filing ??? These vehicles have been in her name about one year.

[SMinGA]

Do you mean that prior to 1 year ago they were in your name? That could be an issue - I believe transfer of assets to family goes back 2 years. It may not be terribly important since they all have low value - what is your state's vehicle exemption?

[PolishMan]

Yes thats true, I dont know the vehicle exemption, I will check into that .

Do I need to even list these if she is not filing ??

[SMinGA]

There will be a place to list transfers to family - they would go there.

As to exemption - I saw in an old post that you are in GA. So am I... GA's vehicle exemption is $3500. Chances are good that your 95 truck is less than $3500. You can probably exempt that, along with the 85 & 82 with your vehicle exemption. I also read in old posts that your home is worth about $300k and you owe $300k, so you won't need to use GA's homestead exemption. That could be good - because you can use up to $5000 of unused homestead as a wild card, and protect the van.

If you DO have the exemptions available to you, may just be best to list the assets and claim them exempt. Rather than take a chance on making a trustee mad about preferential transfers.

[PolishMan]

Thanks for your help, no I dont want to get the trustee mad.
They take the time to check on vehicle transfers and such ??

I guess thats their job.

[SMinGA]

Personally I don't know how much they check - but its not uncommon to have to show titles and such to your attorney and/or the trustee. I would not take a chance at getting caught in a situation like that - best to be upfront w/ the attorney. If you have exemptions to protect the asset, then changing from your name to your wife's name may not be a concern. Could be for other reasons - like to have the tag renewals due at a different time of year.

[PolishMan]

I left out a car 1991 Toyota Camry . I checked KBB private party sale price :
Camry ( $ 950.00 ) , 86 VW ( $400.00 ) , 85 GMC van ( $ 650.00 )

82 Dodge Colt ( $ 250.00 ) 02 Dodge Caravan $ 3000.00
My Ranger truck 95 ( $ 1800.00 ) We have 4 drivers in the house me, wife, two daughters 16 and 17.

We have acquired so many cars over the years , inlaws sell their cars every 10 years with about 30-40,000 miles on them.

We usually pay 4-5,000 dollars for them . Hard to pass up .
You think with my figures I should be ok ?

[SMinGA]

Using $3550 from the homestead wildcard - probably be ok. Especially with the explanation that your teens use the vehicles. And the fact that one is not running brings its value down. The trustee probably would not be able to get much $ from older/used cars - but being upfront about them would still be good.