Surrender Vehicle in Chapter 13 – Creditor allowed an unsecured deficiency balance

Bankruptcy, chapter 13, chapter 13 plan, Judge Schmetterer, Judge Squires, surrendered vehicleLeave a commentTerrance Leeders

Northern District of Illinois - Eastern Division Chicago Bankruptcy Judge Squires recently ruled in the chapter 13 case of Linda J. Blanco, 06B 13223, where debtor tried to surrender a vehicle in full satisfaction of the claim owed. Judge SquiresThe Court held that "the Debtor may not surrender the collateral in full satisfaction of the debt to the Creditor. The Creditor is entitled to seek its available state law remedies, including its right to an unsecured deficiency claim after...