Yes, vehicle repossession debt can lead to bankruptcy if it creates an overwhelming financial burden. Here’s how: Deficiency Balance – If your car is repossessed and sold at auction for less than what you owe on the loan, the lender can pursue you for the remaining balance (deficiency balance). This can be a significant debt, […]

Whether you get to keep most of your assets in bankruptcy depends on several factors, including the type of bankruptcy you file, the value of your assets, and the exemptions available in your state. Chapter 7 Bankruptcy Liquidation Bankruptcy: In Chapter 7, the bankruptcy trustee may sell some of your non-exempt assets to pay off […]