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Orlando Attorney Lewis Roberts

Can Bankruptcy Stop Repossessions?

If your finances have gotten to the point where you’re worried about your vehicle being repossessed, you may be asking yourself whether filing for bankruptcy can bring relief. People are often reluctant to move forward with bankruptcy. One of the most common questions bankruptcy attorneys hear is, “Will I lose everything if I file for bankruptcy?”

Fortunately, bankruptcy doesn’t mean that you’ll lose everything. You might lose very little, and it can be an effective way to stop your vehicle from being repossessed.

Could Filing Bankruptcy Stop Repossession?

The short answer is yes, filing for bankruptcy can potentially stop a vehicle repossession. However, in reality, the process can be complicated. You have two basic options for filing for bankruptcy: Chapter 7 and Chapter 13. These two forms of bankruptcy differ significantly. Each has benefits and downsides, but both types of bankruptcy can result in your retaining possession of your vehicle.

For Chapter 7 bankruptcy, you have to qualify by showing that your monthly income is below a certain amount. If you qualify, your assets will be liquidated and used to pay off a portion of your debt. Then, your remaining debt is discharged and you’re free to move forward.

With Chapter 13 bankruptcy, your lawyer negotiates a payment plan with your creditors. If you consistently make your payments for a few years, your remaining debt can be discharged.

If you work with an experienced bankruptcy lawyer, there’s a good chance your lawyer can work to ensure that repossession is stopped, allowing you to keep your vehicle. A lawyer may even be able to negotiate down the payments so that affording your car isn’t a concern.

Are you worried your vehicle is about to be repossessed in Central Florida? Call my office at (407) 749-0080 to get help today.

Does Florida Law Allow for Any Bankruptcy Exemptions?

How a Florida Bankruptcy Lawyer Can Help

There’s a common misconception that bankruptcy means you lose your vehicle, your house, and any other assets of value. While that certainly can be a risk if you don’t work with an experienced bankruptcy lawyer, that’s not how the process has to play out. Declaring bankruptcy isn’t meant to destroy your life — it’s meant to give you a chance to start fresh. Getting back on your feet financially is much easier when you have a car and a house. The government understands this, which is why there are many different types of bankruptcy exemptions you can take advantage of.

Both Chapter 7 and Chapter 13 offer exemptions, although they differ. However, either type of bankruptcy can stop vehicle repossession. 

Both forms of bankruptcy can also allow you to keep your home and other assets, but you have to know how to take advantage of these exemptions. This is where a bankruptcy lawyer comes in.

Vehicles depreciate quickly. That means there’s a good chance that your car is no longer worth the amount you owe on it. As a result, the lender might actually lose money by repossessing your car. If you’re filing for Chapter 7, your Chapter 7 bankruptcy lawyer may be able to negotiate a new payment plan with your lender that works with your current finances.

Under Chapter 13, your Chapter 13 lawyer can include your vehicle payments in your payment plan, so they become part of one monthly payment.

What to Do if Your Vehicle Is Being Repossessed in Florida

If you’re being harassed by creditors threatening to repossess your vehicle, it’s a good idea to contact a Florida bankruptcy attorney as soon as possible. A bankruptcy lawyer will examine the current state of your finances and make recommendations for effective debt management. If a lawyer suggests that bankruptcy is the best option for you, they can handle the process. This includes:

  • Identifying which form of bankruptcy is right for you
  • Completing legal documents on your behalf
  • Negotiating with your creditors
  • Sending cease and desist letters.

Once you file for bankruptcy, your creditors are no longer able to harass you about payment. Legally, an “automatic stay” goes into effect, which stops creditors from bothering you. If a lender wants to repossess your vehicle but you’ve filed for bankruptcy, they can’t just show up at your home and take your car. Instead, they have to go through the legal process of filing a motion for relief. If they choose to move forward with this, your lawyer can negotiate with them, working out a solution that keeps you in possession of your vehicle.

Bankruptcy lawyers understand that if your vehicle is at risk of being repossessed, you may also have concerns about affording a lawyer’s fees. Some firms offer free consultations, so you can learn about your options free of charge. If you choose to move forward with legal representation, bankruptcy firms often offer affordable fees that take your current financial circumstances into account. Don’t let the fear of legal fees deter you from learning how to stop a vehicle repossession.

Get Help from a Florida Bankruptcy Lawyer

Stop Repossession in Its Tracks

Have you been asking yourself, “Will I lose everything if I file bankruptcy?” If so, it’s time to stop wondering and get straightforward advice from an experienced bankruptcy lawyer instead. Don’t let misconceptions about bankruptcy hold you back from taking control of your finances.

I’m Attorney Lewis Roberts, and I run a bankruptcy law firm in Central Florida. I’ve helped countless clients get back on track financially, and I’m happy to discuss how I can help with your situation.

Are you facing vehicle repossession in central Florida? Call my office — Lewis Roberts, PA, Attorney at Law — at (407) 749-0080 to schedule a free consultation today.

Bankruptcy Lawyer Lewis Roberts

Attorney Lewis Roberts

The weight of debts that one cannot pay carries financial stress into every waking moment. It is time for this to end. Lewis Roberts, PA, offers solutions to relieve these worries. With over 20 years of experience in helping individuals overcome the burden of debt, bankruptcy attorney Lewis Roberts presents a range of options tailored to each unique situation. Clients can trust his advice on any matter related to debts, as he identifies appropriate options and explains the paths to debt relief clearly and carefully. This ensures that clients make the best decisions for their future. [ Attorney Bio ]