If you want to keep your vehicle lease and are current you likely can under Chapter 7. You “assume” your lease contract and all of its terms. Our last three blog posts have been about rejecting a vehicle lease and giving the vehicle back to the lessor. You can do this either through Chapter 7 or 13. The result is the … Read More
Unexpected Benefit: Reject a Vehicle Lease in Chapter 13
Chapter 7 is the cleanest way to reject a vehicle lease and owe nothing. But if you have other reasons to be in Chapter 13, that works too. Ending a Vehicle Lease in Chapter 7 Our last blog post was about how a Chapter 7 “straight bankruptcy” can get you out of a vehicle lease. You can “reject” a … Read More
Unexpected Benefit: How to Reject and Owe Nothing on Your Vehicle Lease
Chapter 7 gives you the option to either assume or reject your vehicle lease. If you reject it you’d owe nothing more. Here’s how that works. Getting out of a vehicle lease in a Chapter 7 case requires simply that you formally state that you “reject” it. Then you owe nothing more. Last week we showed how a vehicle … Read More
Unexpected Benefit: Get Out of a Vehicle Lease with Bankruptcy
A vehicle lease is legally different from a vehicle loan in many ways. In the end it can be more expensive. Escape a lease with bankruptcy. The Temptation of a Vehicle Lease Leasing can seem like a sensible way to get a new vehicle. You often pay less money down and pay lower monthly payments. So leasing can sometimes … Read More
Unexpected Benefit: Vehicle Loan Cramdown, Illustrated
Chapter 13 can often give you the ability to reduce both your monthly payment and the total you pay on your vehicle loan. Here’s how it works. Cramdown in Chapter 13 Last week we introduced cramdown as an extremely helpful tool for reducing the cost of your vehicle loan. Cramdown can often: Reduce your monthly payments—sometimes significantly. Reduce the … Read More