Can I lower my car payment in a Chapter 13 Bankruptcy?

Are you behind on your car payment? Do you owe more than your car is worth? Do you have a high interest rate on your car loan? Is your loan cross-collateralized with other loans? In a Chapter 13 Bankruptcy, we can use your statutory rights under the bankruptcy code to lower your interest rate, lower your car payment, and/or lower your principal balance. If the loan on your vehicle is more than 910 days old and was the original loan used to purchase the vehicle, you can lower your loan amount to the value of the vehicle at approximately 5% interest rate for the life of your chapter 13 plan. If you do not qualify for a cram down of your loan, then you may still be able to reset your interest rate at approximately 5% for the life of your chapter 13 plan. Filing a Chapter 13 Bankruptcy may allow you to repay your car loan at a more affordable rate. There are many tools under the bankruptcy code to help you save your automobile.

Please call me today at (801) 432-8682 to discuss your specific situation and how Bankruptcy may be right for you.