The Surprising Benefits: Keeping Your Vehicle Lease under Chapter 13
You can keep your leased vehicle under Chapter 7 if you're current. If not, or have other reasons to do a Chapter 13 case, that works too.
Benefits under Chapter 7: Keeping Your Vehicle Lease
If you file a Chapter 7 case and write off your other debts, will you want to keep your vehicle lease? You can if you're current on it now.
The Surprising Benefits: Ending Your Vehicle Lease under Chapter 13
Chapter 7 gets you out of a vehicle lease owing nothing. Chapter 13 is more complicated but can give you pretty much the same good result.
Chapter 7: Rejecting a Vehicle Lease
Rejecting a vehicle lease in a Chapter 7 case simply requires a formal statement that you reject it. The Option of “Rejecting”... Read More
Chapter 7 Buys Time to Change to Another Vehicle
Filing a Chapter 7 case stops repossession of your vehicle temporarily. If you are getting another vehicle, that can be valuable time.
Chapter 7 Buys Time to Redeem Your Vehicle
If your vehicle is worth less than its debt, and you can get the money representing that value, you can "redeem" the vehicle free and clear.
Escaping a Vehicle Lease in Chapter 13
Getting out of a vehicle lease by "rejecting" it in Chapter 13 isn't quite as quick as in Chapter 7 but has about the same practical effect.
Escaping a Vehicle Lease in Chapter 7
Vehicle leases are often not such a good deal. If you find out your isn't, you can almost certainly "reject" that lease and pay no more.
“Assuming” a Vehicle Lease in Default in Chapter 13
Although Chapter 7 can work fine if you're current on your lease, use Chapter 13 instead if you're behind and need time to catch up.
“Assuming” a Vehicle Lease in Chapter 7
You can most likely "assume" your vehicle lease and keep that vehicle under Chapter 7. But you need to be current or able to be quickly.
Unexpired Leases and Other Executory Contracts in Bankruptcy
Unexpired leases and executory contracts can continue on after you file your bankruptcy case. What are they and what makes them special?
Getting Out of Your Vehicle Lease through Chapter 13
If you are filing a Chapter 13 case for other reasons, it's also a good opportunity to get rid of your vehicle lease if you want to do so.
Getting Out of Your Vehicle Lease through Chapter 7
A vehicle lease can cost you less up-front and each month, but is in reality very expensive. Bankruptcy is your way to break the contract.
Keeping Your Leased Vehicle through Chapter 13
Want to keep your leased vehicle but aren't current on the payments? File a Chapter 13 case if you can't get current right away.
Keeping Your Leased Vehicle through Chapter 7
If current or able to get current on your vehicle lease payments, you'll likely be able to keep that vehicle in a Chapter 7 case.