Here’s an example of when it’s better to reaffirm or cramdown a vehicle loan, to use a Chapter 7 case or a Chapter 13 one. We’re in a series of blog posts about choosing between Chapter 7 “straight bankruptcy” and Chapter 13 “adjustment of debts.” Along these lines two blog posts ago we outlined when to reaffirm a secured … Read More
The Timing of a Personal Property Cramdown
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.”
The Timing of a Vehicle Loan Cramdown
If your vehicle is worth less than you owe on it, with good timing cramdown could reduce your monthly payment AND the total amount you pay.
Chapter 13 Cramdown on Personal Property Debts
How Chapter 13 helps you keep personal property collateral on a debt (such as furniture bought on credit) for less money through cramdown.
A Business Lease Recharacterized in Bankruptcy
A business leases may not be a true lease but rather recharacterized as a secured purchase, giving you significant power over the creditor.
Distinguishing between a True Lease and a Secured Purchase
To determine whether a “lease” is actually a disguised secured purchase the bankruptcy court looks at the deal’s economic substance.
Leases Treated as Secured Purchases in Bankruptcy
A “lease” of furniture or other consumer goods may actually be a disguised purchase. If so, through “cramdown” you can pay much less on it.
Reducing Your Vehicle Loan Payments through Chapter 13
“Cramdown” of your vehicle loan can solve the problems of a reaffirmation agreement by lowering payments and protecting you much better.
A Fresh Start with a Vehicle Loan “Cramdown”
If your vehicle is worth less than you owe, Chapter 13 “cramdown” can reduce your monthly vehicle payment and the total you pay on the loan.
Giving Final Thanks for Chapter 13 “Adjustment of Debts”
Chapter 13 helps if you owe divorce debts, have personal property collateral, are behind on property taxes, or owe old and new income taxes.
Thanks for Chapter 13 “Adjustment of Debts”
It’s way past Thanksgiving but Chapter 13 has many features that make you take notice and appreciate what they can accomplish.
Chapter 7 vs. Chapter 13–“Cramdown” on Personal Property Collateral
After covering Chapter 7 last time, now how does Chapter 13 help you keep (or surrender) collateral on a debt?
Chapter 7 vs. Chapter 13–More about Your Vehicle Loan
The second scenario, the Chapter 13 solution for keeping a vehicle if you’re behind on payments.
Chapter 7 vs. Chapter 13–Assets Encumbered by Liens
Some of the assets you may want to protect in a bankruptcy case are those that are security for debts.
Chapter 7 vs. Chapter 13
Sometimes it’s obvious which of the two consumer bankruptcy solutions is right for you. But not always. You might be surprised.