CH 13 Multiple Car Lease Question

[max2k10]

I know I still have plenty of time but when it comes to car shopping I hate to leave for last minute or be pressured. I have been trying to get in touch with my attorney and no freaking luck. No return calls nor emails.

[max2k10]

Well after spending over a month attempting to get a hold of my attorney, I just found out today that all my attorneys cases have been transferred to another firm. I'm really not sure what's going on or how this will affect me. I still have 4 more years left and I really needed his advise and help. Since my attorney already received full payment will I need to pay this firm to represent me? Has anyone else been thru this with their attorneys and what has happened to your case.

[max2k10]

I have an appointment with the new attorney on Saturday but not sure what to expect. This blows. I wish I would have financed and not leased my cars. Now I have to deal with modifications this year and next year. I know for sure I will be at the trustees mercy.

[159515951]

Take a look at the contract you signed with your attorney -- it should be clear that the agreement is with the firm.

[max2k10]

This attorney came highly recommended. I honestly don't recall signing a contract with him. It was a father and son small firm in NJ. Been in business since the 80's. their office closure is a shock and really not sure how the hell they closed their business with no warnings or notice to any of his clients including myself. I'm curious to find out what happened.

[memuzz]

I had a car go bad in the middle of our case. The car we had when we filed was paid off in our plan as a secured priority claim. I contacted my lawyer and she advised me of a dealership that was willing to work with debtors in an open 13. The problem was trying to get the new car loan approved with the bankruptcy court to allow us to incur a new debt. The steps were filled with new expense reports, income reports to show that we had the ability to pay the debt outside of our plan. We had to stop our 401K during the case and also stop paying for some other expenses. The main issue is that we lived in a rural area and my husband needed a good car to go to work. The judge allowed the debt since our other car was not safe for my husband to drive. We found out that the car dealership we worked with before the bankruptcy would approve us for a car in an open 13. We were approved and got our last car.

I know that buying an older car is sometimes risky because the risk of costly repairs, but if you have the money available it maybe your only option. You will have to check with your attorney to see if the money paid for lease would have to converted to court payments. Good luck.

[katztoo]

I'm planning on asking my attorney if I can borrow from my 401k to buy a used car for let's say $10k. That should get me something decent and I will pay myself the interest. Does anyone know if this is possible? Will the trustee allow this? Has anyone here borrowed from their 401k to purchase anything during their bk.

We were approved for a 401K loan during Chapter 13 for a heater repair and for helping our son with college tuition. We did it backwards, we got the loan then found out we needed permission. It was approved ex post facto (after the fact). Not the best way to go about it but we honestly didn't know before hand that we couldn't take out our own money. Live & learn!

[max2k10]

Checking with attorney should be interesting. For some unknown reason my attorney is no longer in business and my case was given to another attorney. Since my attorney already received full payment I have no idea if this new office will charge me a fee. I have an appointment with them on Saturday so should be interesting. Actually not looking forward to it.

[janes712]

If you're taking any loans, you're incurring additional debt, and the interest rates will be very high. Consider beaters until you're out of this...that's what I did, and it's liberating not to owe on a car.

Do you have to get permission from the trustee if you just buy a beater car? And pay for it out right?

[BNKRPTinNC]

The only time you have to get "permission" for a purchase, to the best of my knowledge, is if you are going to incur new debt and that would have to be approved by the court, otherwise you are good to go.