Many people mistakenly think of bankruptcy and assume that it necessarily involves liquidation of all one's assets—including your home, car and anything else valuable you might own. On the contrary, there are several different bankruptcy options, and you can retain certain assets in many cases. In short, it is entirely possible to keep your car and successfully file for bankruptcy.
This depends largely on whether you elect to file for Chapter 7 or Chapter 13. In Chapter 7, you may be required to liquidate certain assets, but a car may be an exemption. In Chapter 13, all assets are protected from liquidation. Gain insight on how to keep your car during bankruptcy.