As part of a Chapter 13 bankruptcy plan in Mesa, Arizona, we can cram down vehicle loans and some other secured debt. If your car loan is more than 2 ½ years old, and you owe more than your car is worth, you would pay only the value of the car back to the lender, and treat the balance of your car loan as unsecured. For example, if you owe $20,000 on your car which has a value of $12,000, we would arrange to pay back $12,000 through the Chapter 13 Plan, and treat the remaining $8,000 as unsecured debt to be paid back with other unsecured debt, or perhaps not at all.
You can also cram down any personal property that has a secured loan against it, such as furniture, jewelry or electronics. The debt must be over 1 year old in order to qualify for this feature.