Chapter 13 - Auto Loan

highlow1 — Mon, 29 Sep 2025 20:00:53 GMT

Hi All,

I recently filed for Chapter 13 bankruptcy, and I’m seeking some insight from others who may have gone through a similar situation. To give some context: I currently pay $3,100 in rent and finance a BMW X5 with a monthly payment of $1,350, which I intended to keep.

My concern is whether the trustee might require me to surrender this vehicle. I would strongly prefer not to, as replacing it would be difficult—finding another vehicle and covering a down payment while in Chapter 13 doesn’t seem feasible. Additionally, my X5 comes with a 7-year/125,000-mile warranty (purchased through CarMax), GAP insurance, and it’s AWD. I mean I get it, it's considered luxury because of its badge but these features are important since my job requires frequent travel, including a 45- to 60-minute commute each way in an area that gets heavy snow in the winter (I feel like other SUV's can't compare to what I have with the X5).

For context, my attorney mentioned he has only seen one case where a trustee forced a vehicle surrender, and that involved someone driving an Audi.

I’m curious if anyone else has had experience with this and could shed some light on how trustees typically view situations like mine.

Thank you in advance!

Re: Chapter 13 - Auto Loan

FicoMike0 — Tue, 30 Sep 2025 05:42:11 GMT

I'm pretty sure most of us find $3100 rent and $1350 car payments extravagent. Apparently, they're also unaffordable in your case as well.

Have you ever heard that awd is a good way to get stuck in places you never should have gone?

Anyway, here's an awd vehicle you could own for about 10 of your payments,

https://www.carmax.com/car/27422968.

Re: Chapter 13 - Auto Loan

jetsfan2013 — Fri, 03 Oct 2025 10:11:24 GMT

No one answer will solve your unique situation. The only suitable advice is to speak with your attorney today about your entire financial situation.

topic Chapter 13 - Auto Loan in Bankruptcy

Chapter 13 - Auto Loan

Re: Chapter 13 - Auto Loan

Re: Chapter 13 - Auto Loan