Roomate vehicle transfer

[mariezee]

I filed for ch 7 on 4/29. I answered yes to question #10 on the Statement of Financial Affairs: Have you transfered any property w/i 2 years prior to the filing of this case?

Now I am concerned. I have had a roommate since my divorce in 2006. He was in an accident in 2008, and needed a new vehicle. My family mechanic was willing to sell him a vehicle (a 1995 eagle Talon) for a good price. I put the car in my name at the time, since I already had insurance on my own car and it was easy to add it to my policy. I never thought, at the time, I would be filing a BK. In July, I transfered the title to his name, as a gift. I never actually paid for the car (he did), or owned, or drove it. We live together, so our car insurance is together. It made sense to do that in 2008. Now, with the BK, I wonder if it doesn't look shady. It isn't. I would just hate for them to go after him for the car. Please let me know if anyone has advice on this.

[mariezee]

Btw

BTW, I am in California and the vehicle is 15 years old, and not worth more than probably $1800. But, the vehicle is ethically (and physically) not mine and never was, and I cannot bear to put my roommate into a position that he may have to pay for it. He is terminally ill and uses that vehicle to go exploring the countryside (I am NOT kidding). Could they actually TAKE the car? I could not stomach that happening. What is the worst case scenario? Would I have to pay the court the value of the vehicle? If so, how would they determine value? Would they take payments? I am so worried about this issue, I am making myself sick. If you can answer this, please do.

[Majakat]

I am not expert but I think what could happen is it is deemed an asset - given a value and you are then asked to buy it back from the trustee - my atty said assets here in nv usually are given an 18mo payback plan -

1998 Eagle Talon Hatchback 2D Standard in my zip code has a KBB fair value of 1,970 -

[backtoschool]

If the transfer of the title to your roommate's name happened within the last two years, you will have to either exempt the car using your exemptions, or expect to buy it back from the trustee at a reduced price.

[mariezee]

Thank you for your help. I just needed to make sure that they cannot take the car. I'm filing Pro Se, so I don't have any idea if I can exempt it. The only other asset I have is my own 14 year old car, but there's no wildcard exemption in CA (I don't think). If I have to buy it back, I will figure out a way. I may need to find a lawyer after all.

[LadyInTheRed]

Thank you for your help. I just needed to make sure that they cannot take the car. I'm filing Pro Se, so I don't have any idea if I can exempt it. The only other asset I have is my own 14 year old car, but there's no wildcard exemption in CA (I don't think). If I have to buy it back, I will figure out a way. I may need to find a lawyer after all.

There are two "systems" for exemptions in CA. System 2 has a wild card exemption of $1,175, plus the unused portion of the $22,075 homestead exemption. If you need a bigger homestead exemption, you would need to use system 1 which does not have a wild card. The automobile exemption is different in each system.

The two systems are at http://www.thebankruptcysite.org/exe...alifornia.html

But some of those figures were updated in April to match the Consumer Price Index. See adjustments at: http://www.courtinfo.ca.gov/forms/do...exemptions.pdf
System 1 is on the first page and System 2 on the second.

Most exemptions are listed in the second link, but not all. For instance, it does not show the System 1 homestead exemption, probably because it isn't adjusted according the the CPI.

How did you complete Schedule C if you aren't familiar with the CA exemptions?

[mariezee]

I used an online attorney service to complete all of my paperwork. After previously phoning many attorneys, and realizing that I couldn't afford them, it just seemed I had a clear cut ch 7 (no assets). It wasn't until I came to this website that I began to think I may have a problem. The online atty refuses to offer legal advice, so I just wanted to make sure I was prepared for my 341. I rent an apartment here in San Diego, so I do not have much of a "homestead". Can I use part of the $22, 075 for a personal property exemption (i.e. 1995 Eagle Talon) ???

I have a total amount on my Schedule C of $12,606.83. That includes $8900.00 in a 401k retirement account (which I believe they can't touch). I really don't own anything else, but I don't want to be caught off-guard at the trustee meeting. Any advice would truly be appreciated. Thanks.

[LadyInTheRed]

The schedule C should show code sections next to each asset. Go to the second link I posted and compare the code sections on your schedule C with the code sections at that link. Are there references to 704... or to 703...? That's how you can figure out what system was used. You can only use one system. Schedules can be amended if needed.

If you don't own your home, you don't need a homestead exemption. I recommend you get the Nolo Press Chapter 7 book. Even if your case is simple, you need to have a better understanding of the process if you are going to get through this without an attorney.

You refer to both an "online attorney service" and an "online attorney." An attorney service is not the same as an attorney. It sounds like you hired an document preparation service, not an attorney. That's why they can't give you legal advice.

[mariezee]

The service I used is called DIY4Law.com. The attorney is Mark Replogle. He is an actual attorney, but worthless when it comes to legal advice and bedside manner In other words, I paid him more than I would have a "preparation service", but was offered no legal advice, and was treated with little dignity or respect. I have yelped about him, but I realize at this point, I just need to prepare myself. The problem is that the Eagle Talon isn't on the Schedule C, since it was transfered prior to filing. I will get the Nolo Chapter 7 book you suggest. Thank you so much for sharing your knowledge.

[LadyInTheRed]

The problem is that the Eagle Talon isn't on the Schedule C, since it was transfered prior to filing. I will get the Nolo Chapter 7 book you suggest. Thank you so much for sharing your knowledge.

The reason I suggested looking at Schedule C is so you can figure out what exemption system was used and whether you have exemption left to add the Eagle Talon in an amendment.

If you haven't already, look at the pro se section of this board.

Best of luck to you.