I Owe The Government Money Can They Take My Car

2010-12-12

In BC, if your vehicle is worth $5,000 or less, a creditor can't take it to satisfy a judgment or other unsecured debt.  However, if it's the federal government that you owe money to, they don't always follow provincial rules about which assets creditors can and cannot take.  But even so, unless your car has significant value, the federal government may not be too interested in taking it to satisfy the debt - there is usually too much time and cost involved in them seizing it and selling it if they don't expect to get a lot of money for the car.  Same idea if you have financing on the vehicle.  What they would get from selling the car and paying out the financing might not be enough to make it worth their while to take it. However, what they will often do is register a lien against your assets.  That way, they can tie up your car (or other assets) without having to seize them. Judy Scott Trustee - Meyers Norris Penny Limited Port Moody - Burnaby - Maple Ridge BC 604-949-2113 [email protected] 

Latest Blog Posts

2025-10-21

How we helped a client decide between a consumer proposal and bankruptcy

Leah Drewcock

A client thought bankruptcy was their only way out. See how a consumer proposal helped them keep their home and repay debt with confidence.

Read More

2025-10-20

Seniors and Debt

Pamela Meger

Alternatives to Bankruptcy Bankruptcy Consumer Proposal Lifestyle Debt MNP Consumer Debt Index

Just when seniors should be relaxing and enjoying the fruits of their labour, many find themselves struggling financially — an unsettling contrast to the ease they’d hoped to live their golden years.

Read More

2025-10-17

How buyer’s remorse laws can help you stay out of debt

Alana Orrell

This is called buyer’s remorse. In some cases, Canadian law provides protections that can help you reverse these costly decisions and avoid sinking further into debt. 

Read More

Consultation icon