Can I Keep My House and Car in Colorado Bankruptcy?
Colorado Homestead Exemption in Bankruptcy
Bankruptcy law is unique in Colorado in that you can keep your house as long as you keep your mortgage payments current and up to date after your case is filed. Whether you are filing Chapter 7 or Chapter 13 bankruptcy, you should be able to keep your home under Colorado’s homestead exemption in most cases, depending on the amount of equity in it. Chapter 7 will allow you to stay current on your mortgage payments, and Chapter 13 will allow you to catch up on any arrearages on your mortgage, homeowner’s fees. Colorado is the only state that has a private trustee foreclosure process in the entire country. A public trustee cannot sell your property unless she or he has an order from the court that finds the mortgage payments are delinquent.
Denver Attorneys: Vehicle Repossession and Bankruptcy
If you are current on your car payment, generally, you will be able to keep your car when filing bankruptcy in Colorado. You may have to sign a reaffirmation agreement and become personally liable for the car debt after you file for bankruptcy.
If you are behind on your car payments and wish to avoid repossession, our lawyers can attempt to reduce or “cram down” the amount of the outstanding loan to the actual value of the car. We can also work to eliminate any remaining unsecured debt, which is referred to as a deficiency, from a vehicle sold for less than what is owed against it.
Call 720-496-1338 or toll free at 888-559-9805, or contact our law firm online to arrange your free initial consultation today. From our office in Lakewood, we assist clients throughout the Denver metro area.
We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.