A car is one of the most important factors to everyday life. Most people depend on their vehicle to get to and from work and pay your bills is essential and this is why we are often asked what will happen to a leased vehicle in a Tennessee bankruptcy? In previous posts we have discussed ways you can keep you vehicle if you own or finance a vehicle in bankruptcy, but today we will discuss a leased vehicle.
Vehicle Leasing Options in Bankruptcy
Leasing a vehicle does not give you the ownership value that financing does, but you do still have rights. You can assume the lease and continue making payments as if the bankruptcy was never filed. If you want to assume the lease then you must notify your Tennessee lender in writing. Before you can do this you must get permission from either your Tennessee trustee or bankruptcy judge. They will decide if they believe assuming the lease is necessary, but if they believe it will create a financial hardship to you they may deny the request. Should this happen you do have other options.
If your request to assume the lease was denied, or you simply decided that it might not have been the most financially responsible decision to keep the car, you can reject the lease. This means you are giving the vehicle back to your Tennessee creditor and essentially wiping your hands free form the lease. But, then how will you get around?
Auto Financing after a TN Bankruptcy
Here at BankruptcyAutoFinancing.com we can help you get into a new or used car loan while in chapter 13 or chapter 7 bankruptcy. We work with a network of Tennessee lenders that specialize in subprime loans including bankruptcy. They have both the tools and experience necessary to get you the most affordable rates for your budget, and as long as you meet our minimum requirements you could be into a vehicle in a few days.
If you are thinking about filing for a TN bankruptcy, currently in bankruptcy, or recently discharged fill out and submit our free and easy application to see how much you can prequalify for.
Remember, we are not lawyers and cannot give legal advice. The situations discussed are only our experiences over the years and may vary with each customer.