Expert: Mark J. Markus- California Bankruptcy Attorney - 7/15/2008

Question
We are hoping to file Ch 7 in a week or two, and had a question about a car we purchased in March of this year.  My previous car had 180k mile son it, and needed several thousand dollars of repairs.  Since I commute 100 miles round-trip every day to work, I needed something more reliable.  So I purchased a 2008 Nissan Versa for $14k, and financed the whole thing.  I am current with payments and wish to keep the car.  The payment is well under IRS standards  My questions is, since I bought this car only a few months ago, could a trustee raise a stink about this, to the point where they could possibly dismiss for fraud?

Thanks

Answer
I can't promise you what an individual trustee will or won't do in your jurisdiction, but in California my clients do that all the time without problem.  The circumstances you describe seem completely reasonable to me.  I wouldn't worry about it.  I think it's very legitimate bankruptcy planning.