Vehicle gift during Ch13 question

[goon]

Here is my situation.....
Filed Chapter 13 in Arizona at the end of April
had 341 meeting beginning of June (no problems there)
No confirmation yet (thou my plan is pretty cut and dry and there shouldn't be any issues)
Attorney told me would be at least 6 months for confirmation because this trustee is slow, but couldn't think of anything that would even be questioned.

All payments are current to trustee ($1895 a month, 2 vehicles rolled into plan)

So now I have a situation where a friend may gift me an old motorcycle, no loan, no payments. This would save me a ton of $$$ in gas. Question is do I have any risk of a problem with the trustee here?

as far as I know there is nothing in a 13 preventing me from acquiring property after filing as long as I am making my payments.

only issue I would see is if the trustee does a title search before confirmation, as of the filing date everything matches.

[goon]

Does anyone have any ideas on this? or is it just going to completely depend on the trustee?

[despritfreya]

It is highly unlikely that the gift of the M/C would be a problem for any of the AZ Trustees. The only issue is going to be an increase in your vehicle insurance rates which may or may not impact your ability to make Plan payments. If you are concerned over a "title search" have the M/C put in your name after your receive the Plan Recommendation.

Question, with the gift, do you really need both of the other vehicles or should you amend your Plan to surrender one?

Des.

[goon]

It is highly unlikely that the gift of the M/C would be a problem for any of the AZ Trustees. The only issue is going to be an increase in your vehicle insurance rates which may or may not impact your ability to make Plan payments. If you are concerned over a "title search" have the M/C put in your name after your receive the Plan Recommendation.

Question, with the gift, do you really need both of the other vehicles or should you amend your Plan to surrender one?

Des.

Thanks for the response, and the points to think on. Still not 100% if this is going to happen or not.

I am not overly worried about insurance cost for the M/C as it would save me about $150-$180 a month in gas based on what I am spending now (and what was budgeted in my plan).
Only concern with waiting to title in my name would be any hassle in registration/insurance.

I am certainly considering if we need both vehicles if the M/C thing happens. Thou it is tricky between having a family of 4 (will be 5 in a couple months...), and having a 37 mile commute each way. I anticipate that I would be able to use the M/C most days for commuting but could see cases where it would be fairly difficult.

Separate question, if I were to surrender one of the vehicles at this point, would any deficiency after the lender sells it be claimed as unsecured debt? or does the deficiency just get written off in this scenario?

Still trying to decide if the whole M/C thing is a good idea or not, I like that it could save gas $ and cut down on travel time (there are sections of my drive where normal traffic crawls and the carpool lane is going full speed).

[despritfreya]

In response to:

"if I were to surrender one of the vehicles at this point, would any deficiency after the lender sells it be claimed as unsecured debt? or does the deficiency just get written off in this scenario?"

Lender, once it disposes of the vehicle, will amend its claim to general unsecured for the balance of the contract. Assuming you are not paying 100% of all allowed claims, lender will just share in whatever pie your Plan proposes to pay to unsecured creditors. Not a big deal.

[goon]

In response to:

"if I were to surrender one of the vehicles at this point, would any deficiency after the lender sells it be claimed as unsecured debt? or does the deficiency just get written off in this scenario?"

Lender, once it disposes of the vehicle, will amend its claim to general unsecured for the balance of the contract. Assuming you are not paying 100% of all allowed claims, lender will just share in whatever pie your Plan proposes to pay to unsecured creditors. Not a big deal.

Thanks for the info, I wanted the details on this cause I have some more figuring to do, but because the vehicle loans are in the plan, surrendering one of the vehicles could potentially put me to 100% payback ( currently less than 100% )