No need to comply with the timing conditions when doing a cramdown of a secured debt if the collateral was not purchased with the debt. The Cramdown Advantage Last week we got into Chapter 13 cramdown of vehicle loans and furniture loans. Cramdown can be an excellent way to keep personal property that’s securing a loan. It allows you … Read More
Whether your creditor has a security interest determines whether it has rights against your vehicle or other collateral. Find out for sure. Reaffirmation vs. Cramdown The last four blog posts have compared Chapter 7 reaffirmation with Chapter 13 cramdown of a secured debt. With reaffirmation you keep the vehicle or other collateral but continue to owe the debt. Usually … Read More
Chapter 13 cramdown doesn’t just work for vehicle loans. You can also cram down debt for the purchase of “any other thing of value.”
How Chapter 13 helps you keep personal property collateral on a debt (such as furniture bought on credit) for less money through cramdown.
To keep possession of your property that is collateral on a secured debt, you need to give the creditor “adequate protection.”
When a creditor fails to enforce its lien in a Chapter 7 case, you are left exposed. Not so under Chapter 13.
Sometimes, even if what you bought is legally collateral on a debt, you can just write off and not pay the debt yet keep what you bought.
Stop secured creditors from taking your property, unsecured debts from turning into secured ones. Keep or surrender collateral as you wish.
Chapter 13 helps if you owe divorce debts, have personal property collateral, are behind on property taxes, or owe old and new income taxes.
Whether you can get your vehicle back depends on how long ago it was repossessed and whether you file under Chapter 7 or Chapter 13.
Before getting into something, you should know how to get out. Like what it takes to successfully finish a Chapter 7 bankruptcy case.
Filing bankruptcy immediately protects you and your property from just about any kind of collection attempt by your creditors.
What happens to the personal possessions and tools of trade that you gave as collateral on a loan?
What happens to the furniture, computer and such that you owe money on? Can they be protected under both Chapters?
Chapter 7 deals with some debts better than does Chapter 13. But Chapter 13 deals with some other debts better than Chapter 7. So what kind of debts do you have?
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