What happens when you total out a car that only has liability insurance when in a Chapter 13?

Get Legal Help Today

Compare Quotes From Top Companies and Save

secured lock Secured with SHA-256 Encryption

What happens when you total out a car that only has liability insurance when in a Chapter 13?

Asked on October 18, 2014 under Bankruptcy Law, Georgia

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 9 years ago | Contributor

Directly, nothing happens beyond what would happen if you totalled a car while not in Chapter 13 lacking insurance: a chapter 13 bankruptcy is about your income and ability to pay and does not involve the liquidation of your assets. Furthermore, if you already filed Chapter 13, then any debt arising out of totalling the car (e.g. if your were leasing or financing it, and so have to pay a lender or dealer) is not part of the bankruptcy, since debts arising after filing do not become part of the bankruptcy. Therefore, this should be essentially the same situation as if you had totalled the car at any other time.


IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

Get Legal Help Today

Find the right lawyer for your legal issue.

secured lock Secured with SHA-256 Encryption