Chapter 7: Keep my car or surrender it? Need advice

Misc Advice

I’m filing Chapter 7 bankruptcy and I’m struggling with whether I should keep or surrender my car.

Some context: I fell behind after a period of financial hardship and being between jobs. I’m actively looking for work now and expect my income situation to improve.

Car details:
2016 Chevy Cruze LT
Around 200,000 miles
Owe $12,851.49
About 25% APR
Around 103 days behind
Approximately $2,000 in unrepaired accident damage
Turbo needs repair
Bankruptcy paperwork currently values the car around $1,645

I actually love the car and if I get back to work I could likely catch up on the payments. The problem is that the loan is expensive, the car has high mileage, and it needs repairs.
On the other hand, I’m temporarily staying with my boyfriend and he has a backup car I’ve been using, so I wouldn’t be completely without transportation if I surrendered the Cruze.

My biggest fear is giving up the car and then not being able to get another vehicle after bankruptcy.
If you were in my position, would you reaffirm and keep the car, or surrender it and start over? I’d especially like to hear from people who have actually gone through Chapter 7 with a car loan.

Posted Jun 12, 2026, 8:23 PM UTC

1454
Loading comments…