Chapter 13 - May Need New Car
Hello! I’m only 4 months into my chapter 13 and just found out my 10 year old car needs $3k + worth of work. That’s about 40% - 50% of what my (paid off) car is worth and likely not worth it. I have a call scheduled with my attorney’s paralegal tomorrow, but had a few questions for someone who may be in the same boat/been through this.
I know there are limits on total amount, payment and percentage rate the trustee will approve me for. I’m not on 100% repayment plan, but pretty close. Say, for example, I can get a used car for $500/month. Do they adjust my bankruptcy payment by $500 to account for the car payment? Like, if my payment was $2000/month, will they adjust it down to $1500 for bankruptcy and $500 for car payment? I’m single with only my current car, so a working vehicle is, unfortunately, a necessity. I know it’s probably not this straight forward, but I’m just looking for some insight.
Thank you!