Divorce and Property Distribution

[Woodgirlygirl]

I am currently going through a divorce - My spouse and I would LIKE to agree upon the terms before filing so we can expedite the process (rather than wait 3 months per Oregon law) and we intend to file together.

I will be stuck with a vehicle worth $10k and we owe $17k. Is there any way to get rid of the vehicle without a repossesion or bankruptcy? I cannot sell it because I don't have the $7k difference for the negative equity. Would claiming bankruptcy hurt me for more than 7 years or be a bad decision to get out of this debt?

Also, we own our home and he doesn't want to sell. Will we have to go to court to battle it out or is there another way to get my name off of the loans?

 

[Michael Wechsler]

With regard to the vehicle, you may want to have a conversation with the entity that gave you the loan. It doesn't help anyone to have a vehicle sold for less money than it could generate, perhaps through a private sale. Claiming bankruptcy for a $7,000 debt would seem too high of a penalty to pay -- at least in my opinion. Such an amount of money can be worked out.

Originally posted by Woodgirlygirl
I am currently going through a divorce - My spouse and I would LIKE to agree upon the terms before filing so we can expedite the process (rather than wait 3 months per Oregon law) and we intend to file together.

I will be stuck with a vehicle worth $10k and we owe $17k. Is there any way to get rid of the vehicle without a repossesion or bankruptcy? I cannot sell it because I don't have the $7k difference for the negative equity. Would claiming bankruptcy hurt me for more than 7 years or be a bad decision to get out of this debt?

Also, we own our home and he doesn't want to sell. Will we have to go to court to battle it out or is there another way to get my name off of the loans?