 Employees' Credit Union in the 1986 Chevrolet Astro Van will be avoided pursuant to 11 U.S.C. § 522(f)(2)(B), and the Credit Union will be directed to return the Van to Debtors. An Order consistent with this opinion will be issued this date.
NOTES
[1]  Since the first refinancing in April 1990, Debtors have paid the Credit Union a total of approximately $2,359.39 on the various obligations. The Credit Union chose to apply certain of such payments to the notes secured by the Van, while others were applied to the line of credit. Mr. Baker testified that on more than one occasion he asked the Credit Union to apply such payments on the note secured by the Van.
[2]  Section 522(f) states in relevant part as follows:

Notwithstanding any waiver of exemptions, the debtor may avoid the fixing of a lien on an interest of the debtor in property to the extent that such lien impairs an exemption to which the debtor would have been entitled . . . if such lien is . . .
(2) a nonpossessory, nonpurchase-money security interest if any
* * * * * *
(B) implements, professional books, or tools, of the trade of the debtor or the trade of a dependent of the debtor. . . .
[3]  The Matthews court stated:

The vast majority of courts that have considered the issue we face here have held that refinancing or consolidating loans by paying off the old loan and extending a new one extinguishes the purchase money character of the original loan because the proceeds of the new loan are not used to acquire rights in the collateral. . . .
Matthews, 724 F.2d at 800-01.


486 F.3d 100
Tyler GREEN, Appellantv.Greg FORNARIO; Tyler Green Sports.
No. 06-2649.
United States Court of Appeals, Third Circuit.
Submitted Under Third Circuit LAR 34.1(a) April 23, 2007.
Opinion Filed May 8, 2007.

John M. Elliott, John P. Elliott, Elliott, Greenleaf, and Siezikowski, P.C., Blue Bell, Pennsylvania, Counsel for Appellant.
Gregory M. Castaldo, Schiffrin & Barroway, LLP, Radnor, Pennsylvania, Counsel for Appellees.
Before: McKEE and AMBRO, Circuit Judges, ACKERMA