Can Chapter 13 Bankruptcy in Raleigh Help You Keep Your Car?

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    If you are struggling to make your car payments, don’t panic. Chapter 13 bankruptcy in Raleigh, NC can help you avoid getting your car repossessed and may even stop other effects of debt, such as foreclosure proceedings on your home. If you have fallen behind on your car loan, it’s important that you contact Weik Law Office today to learn more about how Chapter 13 and our experienced bankruptcy attorney in Raleigh can help.

    How Chapter 13 Bankruptcy Protects Your Vehicle

    When you’re in debt, your car is a lifeline. For instance, it allows you to get to work so you can continue paying your bills. You need it to go to hospital appointments, bring the kids to school, and do anything else you need without having to rely on other people for transportation.

    That’s why losing one’s vehicle is a massive blow to any person who’s struggling with debt. Unfortunately, it’s a vicious cycle— debt can prevent you from making your car payments, which in turn can land you in even more debt, such as if you lose your job.

    Chapter 13 bankruptcy can help you avoid losing your car by providing you with a repayment plan for your car loan. It will allow you to pay for your car over the course of three years instead of one. You might also be able to get a lower interest rate and have your payments reduced on the vehicle.

    North Carolina’s Motor Vehicle Exemptions

    The motor vehicle exemption under Chapter 13 bankruptcy in Raleigh, NC can be used to keep your car from being repossessed. This exemption is a certain amount of equity in the car that is exempt from liquidation. Generally, you can exempt up to $3, 500 in one motor vehicle.

    The laws surrounding motor vehicle exemptions are quite complex. For instance, there are limits to how much equity you can protect under the exemption. In addition, there is a limit as to how many cars you can exempt from liquidation when filing for bankruptcy protection. It also matters whose name the cars are under. If your household has two cars, for instance, and they’re both under one person’s name, then you can only use one motor vehicle exemption.

    Because of this, we strongly recommend you talk to a Weik bankruptcy attorney before making any decision about your car payments.

    Our Raleigh NC bankruptcy lawyer can help you make the most of North Carolina’s motor vehicle exemptions, and keep your car from being repossessed while we figure out the best Chapter 13 repayment plan for your situation.

    Keep Your Car with the Help of Chapter 13 Bankruptcy in Raleigh

    If you’re considering bankruptcy and want to know what it will mean for your vehicle, the good news is that Attorney Weik and Chapter 13 bankruptcy in Raleigh can help.

    Weik Law Office has been successfully helping people like you keep their cars while dealing with overwhelming debt, and we understand how difficult this time can be. We will help you maximize Chapter 13 exemptions to make sure you lose as little as possible while navigating the bankruptcy process.

    We are ready and waiting to answer any questions or concerns you might have about whether filing for Chapter 13 bankruptcy could work for you. Call Weik Law Office today at 919-845-7877 for a free consultation, and set up a time to speak with one of our friendly professionals.

    Use our online contact form, or call us at 919-845-7877 for more information, or for a FREE consultation