Judgement - can car be taken?

[legal_wonderer]

TN

I found this online

In many states it will even be impossible to seize and sell the debtor's car, because a debtor's motor vehicle is protected from being sold to satisfy a debt if the amount of equity in the vehicle is below a certain amount (often about $2,000, but sometimes much more, depending on the state). And if the debtor uses the vehicle for business purposes, it is often exempt from being grabbed and sold, no matter how much equity the debtor has.

Does anyone know of laws in TN regarding this? Or customary practice? The debt is 21000 + fees/interest. The mid 90's car is valued at 2800-3300 and needs work.

Thank you!

 

[Ladynred]

Statutory exemptions from judgments in TN is 4,000 in all personal property - and that includes your car. If the car needs a lot of work, subtract the cost to fix it from the 'black book' value to get your equity number on exemptions. I know of no exemption in TN for an exemption for 'business purposes'.

Wherever you found that bit of 'advice', they are incorrect. The amount of an exemption for a vehicle varies widely by state, there is no generality of "usually $2,000"

 

[Sebaatian]

Exemptions are OK if you are filing bankruptcy.

But if you are not making care payments that car can be taken the very next day after you miss a payment. If you are talking about protecting the car to be taken to pay other debts, then the car would probably be protected by your state exemptions. I'm sure nobody would want a ten year old car for anything unless it's a collector's item for some reason.