For many people, their vehicle is their main source of transportation to and from work. Without a vehicle, many of us would not be able to make a living. When it comes to seeking bankruptcy protections, there are a few important things to know about keeping your vehicles.
The Road To Relief
It may come as a surprise, but in many cases filing for bankruptcy can better protect your vehicle from creditors when default becomes a problem. Not only can the bankruptcy process put a stop to repossession of your vehicle, it can help you resolve your debt troubles without the interference of creditors. Further, some states even allow you to keep more than one vehicle as part of your bankruptcy case.
For example, Texas bankruptcy exemption laws are some of the most forgiving in the country, allowing for one vehicle per licensed member of the family to be exempt from liquidation. This doesn’t just include the car used to get to and from work, but can even include motorcycles, motorized sports equipment and farm vehicles.
Of course, there is variability in the rules about keeping vehicles that are specific to everyone’s unique financial situation and state of residence. If you are considering filing for bankruptcy, consult a Dallas bankruptcy attorney to review your case.