Whether or not a person can retain their car when filing bankruptcy is based upon the value of the car and how much is owed on it.
To determine whether one can retain a car when they file bankruptcy or whether they will lose a car if they file bankruptcy is all determine by the value of the car and how much is owed on it. If it is an old car there’s usually not going to be a problem. If it is a new car with a loan on it or any car with a loan on it there’s probably not going to be a problem with filing bankruptcy. In the state of New York an individual gets a 2400 hundred dollar exemption in a vehicle. That means that the equity when they file a bankruptcy cannot be more than 2400 hundred dollars. However in reality 2400 hundred dollar exemption amount is increased generally by another 1,000 dollars. Therefore an individual can file a bankruptcy and retain the car without any problems.