I've tried everything.. seems like bankruptcy is my only choice. In Illinois if you file bankruptcy will they take your car if its almost paid off? I need a car to drive my daughter to daycare... the payments on the care are actually ontime for that reason I have about 6 more payments left. What about home loans? We bought a house 2 years ago... what happens to that? Do you lose material belongings when you file? Ugh. :(
2007-08-30 04:47:35 · 5 answers · asked by Anonymous in Business & Finance ➔ Personal Finance
If you do file for bankruptcy, you will lose your house. I believe you will be able to keep one car for the household. The bankruptcy will remain on your credit score for 7 years during which you will find it hard to get a loan for anything including credit cards.
Just out of curiosity, when you purchased you house, did you get an Adjustable Rate mortgage or fixed? It seems that the recent issues with the subprime lending market is pushing ARM home owners over the edge.
Good luck to you.
2007-08-30 06:43:58 · answer #1 · answered by dfrank04401 3 · 0⤊ 0⤋
When you file bankruptcy, each state has laws regarding what a person can keep, also known as exemptions. To determine the value of your property, subtract the amount owed to the bank from its current value. You must value property at what it would cost to buy it from a retail vendor, taking the property’s age and condition into account. In the case of your car, look up the value on kbb.com, then deduct your payoff.
Double check with a lawyer to make sure this information is current, but I believe you can keep the following in Illinois:
$2,400 of the value of one motor vehicle
$15,000 homestead exemption (real estate)
100 percent of the necessary wearing apparel, bible, school books, and family pictures
$1,500 in implements, books and tools of the trade
$4,000 for any other personal property
For more information regarding Illinois bankruptcy, check out the following:
http://www.usa-bankruptcy-guide.com/illinois-bankruptcy.html
2007-09-03 02:32:37 · answer #2 · answered by Dawn H 2 · 0⤊ 0⤋
Go see a lawyer. The rules have changed and you really need a lawyer to process all the paperwork.
Basically you will probably be able to affirm the house and the car loans and keep both.
2007-08-30 05:09:09 · answer #3 · answered by bdancer222 7 · 1⤊ 0⤋
Get a lawyer that does financial ruin,yet verify with diverse legal experts to get the backside cost and ultimate provider. in case you consult from the lenders,you would be able to nicely be waiting to get some alleviation. in the event that they garnish your wages and you unfastened your interest,you have the means sue them for misplaced wages. modern-day transformations interior the regulations makes submitting financial ruin tougher and takes longer,yet is frequently carried out interior 6 months.
2016-11-13 20:23:24 · answer #4 · answered by ? 4 · 0⤊ 0⤋
if i learned one thing about bankruptcy on answers it is -- first go to a bankruptcy lawyer your will need one and he will be able to answer all your questions!!!
2007-09-02 04:30:35 · answer #5 · answered by Anonymous · 0⤊ 0⤋