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Bankruptcy

: Bankruptcy Law Network

What Happens to Insurance Proceeds for a Totaled Car in Chapter 13?

By Andy Miofsky, Illinois Bankruptcy Attorney

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In the Southern District of Illinois Bankruptcy Court, one option permits the insurance company to pay the money directly to the car lender.  Another option lets the debtor use the proceeds to purchase a substitute vehicle. The insurance money is property of the bankruptcy estate under contractual terms that make the money payable to the debtor, [...]

Full post as published by Bankruptcy Law Network on June 26, 2009 (boomark / email).

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