Posted on: 08th Feb, 2010 10:06 pm
The federal bankruptcy exemption for a married couple on a vehicle is $6450, does that have to be 2 cars or can it be 1? Can you use the "wild card" exemption for a vehicle? I need a vehicle, others about to be repossessed and can't fit my family of 5 in them anyways. Have about $50k in debt due to job changes, medical issues and kids. Can barely afford basic monthly expenses on an income of about $2000/month. I want/need to use my tax refund to get a van how long should I wait to file chapter 7?
Hi,
If the federal bankruptcy exemption allows an exemption of $6450 for a married couple, you do not need to have 2 cars. The married couple can use single car and still claim the exemption for the vehicle. As far as I'm aware of, the wild card exemption can be used to protect your vehicle. But extent of exemption will vary from state to state.
If you file bankruptcy before getting the tax refund, you will have to surrender it to the bankruptcy trustee. But if you get it before filing the bankruptcy, you can use the refund money without having to surrender it.
If the federal bankruptcy exemption allows an exemption of $6450 for a married couple, you do not need to have 2 cars. The married couple can use single car and still claim the exemption for the vehicle. As far as I'm aware of, the wild card exemption can be used to protect your vehicle. But extent of exemption will vary from state to state.
If you file bankruptcy before getting the tax refund, you will have to surrender it to the bankruptcy trustee. But if you get it before filing the bankruptcy, you can use the refund money without having to surrender it.