Buying a car

[daxtell]

I have read most of the posts on this thread and am amazed. Is it really true that i will get offers to buy cars after my petition is filed? I just signed the chapter 7 petition tonight at my attorneys office and she will file it in the next few days.

I have been living in fear for the last five years since my credit problems began with job loss, medical bills, and credit cards. I lost my house to foreclosure and my suv was repossessed three years ago.

So I finally found a job to pay my bills a few months ago. I live in a cheap apartment and drive a 1995 beat up Jeep that I pray everyday will get me to work and back. It was hard finding a job in this economy but I found one that did not do a credit check.

I worry if I should keep driving the Jeep and constantly worry of a breakdown or consider some of these posts where people did get a car loan and offer right after filing.

Thanks everyone.

[drowning123]

Yes, you may be able to get a loan, but at a very high interest rate (20%). Some folks get good rates because their credit wasn't so bad at the time of filing for bk. Your credit seems pretty beat up like mine was at the time of filing. I had tons of lates and charge-offs. The only thing current was my car. Do the math and see if you can afford a car payment. It may help to re-build your credit. But please make sure you can afford the payments.

[chrisdfw]

I got lots of offers, but ignored them for a long time, never intended to ever finance a car again. (I hadn't financed one even in the 4 years before my Ch7, I preferred unserured debt and still would if I could get it)

I will tell you that even almost 2 years after my filing date, it wasn't what I would call easy, but I got approved through the dealership (unknown rate as I haven't gone in yet), through capital one (5.41%), and through roadloans (18%) so it pays to shop around a little. I got turned down at the credit union that I have my last auto loan with (which was never late and paid off within 18 months)

I don't want a car note, but the fact is that I cannot afford a newer vehicle otherwise. The state is paying me $3000 if I retire (cash for clunkers) my 12 year old car and get a 2008 or newer model. That makes more sense than spending $3000 repairing the clunker. So I am looking
at buying a 2008 or 2009 used car for 11000 or so, and financing 8000. That's under $200 a month.

My credit scores before I started applying was 650 and 680 for the two I knew. I thought I would be approved anywhere, but some turned me
down straight away for the BK. I have not been late on anything since the ch7.

You do have to be careful. After the initial turndown I was tempted to stop when roadloans approved me at 18%. I'd be looking at paying
an extra $50 a month for no reason other than laziness and ignorance. 5.41% vs 18%. Incredible how they are ready to take advantage of you.

[Fallonedward]

We have received zero offers to buy cars after our petition was filed and we are 15 days past our 341. Right now we do not need a car but as soon as my hubby finds work, we will immediately began to save so that we can get a new car for him. He drives a 2002 Ford that has 198,000 miles on it and its starting to fall apart at the seams.

We are hoping to purchase a reliable used vehicle with cash saved

[dumpinmydebt]

I've received like 10 offers, from 3 different places. I received 2 offers within 5 days of filing. I ignored them all because I am riding through on my loan and I'll get a small loan when my credit improves.

[LSUTiger32]

Sure, you will get plenty of offer from loan sharks which is what the pathetic companies that will loan to you at that point are. A car loan at 20% interest shouldn't even be legal. You are paying 20% interest and the car is depreciating at 20% a year. You will NEVER get ahead and you will NEVER win like that. EVER.

[chicagoannie]

I have received 6 offers for new car purchases since I filed. Amazing, considering I am unemployed and my chapter 7 debt has not even been discharged yet.

I personally will never buy a brand new car ever again - too much depreciation in the 1st couple years!

[Fallonedward]

We are unemployed and thought that is why we have received zero car offers. I too will never purchase another new car again. We are going to stick with cars that are 3 years old and low mileage.

I figure that the best place to purchase a used car is a dealership that offers a warranty. We purchased our son's used vehicle from an ad on craiglist and the car died after a year.

I will be very careful with what type of car I purchase.

But first and formost in order to have a fresh start we need to find employment. It's been 9 months, many interviews but zero job offers

I have received 6 offers for new car purchases since I filed. Amazing, considering I am unemployed and my chapter 7 debt has not even been discharged yet.

I personally will never buy a brand new car ever again - too much depreciation in the 1st couple years!