Keeping a classic car as exempt[ Edited ]
11-07-2012 09:24 AM - edited 11-07-2012 09:43 AM
A friend with no income or home is in the process of filing a bankruptcy but they (did) own 1 crappy car worth under $6000 and one car they put their heart and sole in that books for $2000 but is worth more. One of the creditors wants that specific vehicle and he wants to keep it under the exemptions allowed.
I read the FAQ and checked Exemptions for NY state and it lists that you can keep one automobile worth under $4,000 but it doesn't say if you have a right to choose which to exempt.
The FAQ says you can keep one car over the other by choosing which loan to pay back but I'm trying to find what the rule is if both vehicles worth under $4000 are paid for and a creditor wants the one you want to keep.
He has a really bad general practive lawyer who isn't that familiar with the process and isn't really looking out for him so I am trying to find some answers for him.
Edit: Neither vehicle are currently in his name as of ~3 months ago, but he was told they will go back a year on any transactions he has made and take back the vehicles from the current owners. He was just going to wait till next year and file but someone (cop) showed up to collect one of the vehicles but he showed the officer proof he no longer owns the vehicle but the officer said he has to file bankruptcy now or else.