Legal Question in Bankruptcy in Texas

How does Chapter 13 bankruptcy Question...

What happens to your home and car in Chapter 13 Bankruptcy? FYI - home is a VA loan. We just refinanced in the past year and due to refinance fees we owe more than it is worth. Car was just purchased in the past year also.


Asked on 1/12/05, 10:42 am

1 Answer from Attorneys
Andrew Nichols Law Office of Andrew B. Nichols

Re: How does Chapter 13 bankruptcy Question...

You can either decide to keep both your house and your cars in a chapter 13. With respect to your car you only have to pay back what the car is actually worth plus a small amount of interest (approximately 6 to 7%). If you decide to keep your house you will have to pay the full mortgage payments but the amount of any payments you missed before filing chapter 13 are put into your repayment plan. You have to be in a chapter 13 for at least 3 years and no longer than 5 years. Please feel free to give me a call to discuss your situation in more detail. It might be better for you if you are willing to give up the house to file under chapter 7. Please call me at (214) 637-0713

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Answered on 1/12/05, 3:07 pm


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