How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Ellen Your Own Question
Ellen, Attorney
Category: Bankruptcy Law
Satisfied Customers: 36714
Experience:  Bankruptcy Lawyer. Experienced.
Type Your Bankruptcy Law Question Here...
Ellen is online now
A new question is answered every 9 seconds

Im preparing to file Chapter 7 Bankruptcy in AZ. Ive been

This answer was rated:

I'm preparing to file Chapter 7 Bankruptcy in AZ. I've been advised I have excess equity in my current vehicle. I'm thinking about trading the vehicle for another, extending the contract out for 72 months, reducing my equity as well as monthly payments. Will this action adversely affect the Bankrupcty when we file in the next 60 days?

So sorry to hear of your dilemna. I will strive to provide you with legal information to assist you.

I am a lawyer with 25 years experience. Although I am not your attorney, I hope that I can give you helpful legal information on this open and nonconfidential forum.

You are describing a very common form of bankruptcy planning. Provided you are truthful on your financing statement to obtain the loan for the new vehicle, there should be no adverse effect on your bankruptcy

I hope that this helps.

Thank you in advance for remembering to click accept. If you experience difficulty using the accept button, please let me know as JustAnswer pays me for my time only if the "accept" registers.

Ellen and other Bankruptcy Law Specialists are ready to help you