Expert: Mark J. Markus- California Bankruptcy Attorney - 8/25/2009

Question
I currently have about $7k in debt on a credit card and a monthly payment of $352 on an a travel trailer.  I'm currently employed but with my living expenses going up it doesn't look like I can afford to keep the travel trailer or keep paying the credit card.  I understand if I stop making the payment on the travel trailer it will be repossessed and I will be held responsible for the balance.  At that point I would need to file for BK on my debt with the lien holder and my credit cards.  What chapter would I file under and would I be able to keep my vehicle I just purchased 4 weeks ago?  It is my only means of transportation to work and to take my child to day care.

Answer
Which chapter you would or could file under depends on your income, expenses and other assets, and can only be determined after a comprehensive consultation with a qualifed bankruptcy attorney in your area.   Most likely you would file either Chapter 7 or 13, but there's no way I can tell by the sparse information you provided here.

You should be able to keep your new vehicle as long as you can maintain the payments on it and as long as there isn't too much equity in it (how much is too much depends on the exemption laws of your state).

http://www.bklaw.com/