bankruptcy question

[citynot4me]

What is the name of your state?OR
I am filing bankruptcy and own my car. It is worth about 12000 but it needs work on the engine so its hard to sell. can I keep it?, gift it to a friend?
or sell it to someone for 1700 and buy it back after things are finalized?
I was told I could only have a car worth 1700.

 

[Ladynred]

The $1700 exemption goes to EQUITY, however, you have 100% equity in your vehicle. The question then becomes how much is it REALLY worth ?? Do not use Kelly bluebook, get a blackbook quote. Once you get that number SUBTRACT the cost of any and all repairs it would need, as well as deductions for any body damage, high mileage, etc. All of these things bring down the actual value of the vehicle. Once your done, what's left is what you'd use the $1,700 exemption against. If you're still over that amount and the Trustee wants the car, you can always REDEEM the vehicle - meaning you pay the Trustee the difference and you get to keep the car.

DO NOT give it away to ANYONE. ANY transfer of assets like that prior to filing would be considered a fraudulent conveyance - an attempt to hide assets and your case could be dismissed.