Something that is frequently contemplated by anyone who might be considering a bankruptcy filing is the extent to which the bankruptcy will impact their existing car loan or lease.  You might wonder whether you can preserve the loan throughout the bankruptcy discharge process, or whether arrears on the vehicle loan can be caught up or paid off through the bankruptcy.  In brief, the answer is that yes, you can certainly preserve your vehicle and similarly, you may also be able to either catch up or pay off your car loan, depending on the chapter of bankruptcy that you file.  

One of the first things that many people consider when contemplating a bankruptcy is the effect the filing will have on any vehicles that may be co-owned by their children, or registered in the parent’s name on the child’s behalf.  There are many reasons that we might find ourselves co-signing on a vehicle for our children.  Often, a child may still be a minor when a vehicle is purchased preventing them from registering it in their own name on the title.  Conversely, a parent may also co-sign on a vehicle for one of their adult children for the purpose of assisting with the financing process. Regardless of the reason however, the ultimate result is that the parent will be included on the title to the vehicle, and if applicable, will be co-signed on any loans taken out to finance it.