When you file a Chapter 13, the court enters an order forbidding the repossession of your vehicle even if you are behind on your payments prior to filing. Under Chapter 13, payments on your vehicle are made by the trustee from your monthly payments to the Chapter 13 trustee. It is your responsibility to make all payments for insurance on the vehicle and to be sure they are kept current. If there is no insurance coverage protecting the lien holder on your vehicle, the court will allow the lien holder to repossess the vehicle.
Under certain circumstances, if your vehicle has been repossessed before you have filed a Chapter 13, the court can order the vehicle returned. However, the return of the vehicle will usually only be allowed when the vehicle is essential for you to get to and from work, with no other means of travel available.
