Trustee Granted Permission to Purchase Vehicle

[krielly]

YEAH!!!!!!!!!! The trustee signed off on permission for us to purchase a truck for my dh!
We are 26 mos into a 60 mo plan. He had 2 trucks when we filed, but we had one volutarily reposessed about 1 year ago. It was a 1 ton diesel, but needed a fuel injector pump (rebuilt one costs about 1700, plus the labor to replace it). We let the truck go to the bank, as we had a $350 payment and it sat dead for about 6 mos. We knew our plan was so tight,we could not save the $ needed to fix it for a long time. Between being in the middle of a 13, and having a reposession a year ago, I didn't think we would ever find a lender. We tried this about 6 mos ago, but couldn't get financing anywhere.
Sorry to babble. I'm just so relieved. His current truck is 12 years old and I was so worried because there was no way it was going to make it through the rest of the plan (no one wanted to lend until after discharge).
YEAH!!!!!!!!!
The interest rate is high, naturally, but actually not as bad as I thought it would be 12.24%, which considering our status, is probably not as bad as it could have been.
The hardest part has been waiting for the 10 day notice to the creditors to go by. None of them objected by the deadline of yesterday at noon, so the trustee signed off.

[lrprn]

YEAH!!!!!!!!!! The trustee signed off on permission for us to purchase a truck for my dh!

Fantastic news, krielly!! What a relief! And your terms aren't horrible - great job! So happy this worked out for you!

[SinkingFast]

Congrats, Krielly!!

Enjoy your new ride!!

Here's hoping you have smooth sailing, and no car repairs needed until well after you're outa your Plan!!

[krielly]

Thanks! You guys are the best.

I just recently found this site, and wish I had known about it these past 2 years.
Nice to come to a place where people understand, and you don't have to feel like a second class citizen.

[chpxiii]

Sweet! Enjoy the new ride!

I know what you mean by finding this site. I wish I had found it when I filed in 2003. Doesn't matter, I'm glad I found it now!

[dac67]

How did you ever get a loan. We tried for months , went everywhere and NO ONE would even look at us with out a discharge. We even had a cosigner. My credit is not that bad even though I am in the BK.
Congradulations anyways!!!

[krielly]

That's where we were about 6 mos ago. I gave up for a while, then started trying again. How long have you been in your plan, and how much time do you have left? Some told us that they wanted us to be halfway through the plan. We're 5 mos shy of that, but closer than we were 6 mos ago. So maybe that made a difference.

I would check w/your attorney to see if he/she knows of any lenders in your area who will work with an open chapter 13. Since trustee approval is required, I'm sure your attorney has been through this before with other filers, and should be able to refer you to someone.

I know that the lender also wanted a payment history on our plan. They wanted proof that we had been on time in our payments to the plan and were current.

Let us know what your attorney says.

Also, I'm not sure what state you are from. Different states have laws about how much you can borrow while in a 13.

[dac67]

I live in a state next door to you. We had at the time a note from our attorney stating how much our monthly payments could be. We were at the time one year into a three year plan we are now half way thru, I think I just payed #19 out of 36. Our lease truck is up in March of 2008 so we will again have to buy another vehicle. My husbands dad ended up giving us 2,000 to buy a used car and we found a good one for 1800.00 (I hope it passes inspection this month, it should it's been to us so far, course we have New England winter coming) Thanks for replying.

[TexasLadybug]

Hi! I am in the process now of trying to do the same thing.....purchase the vehicle I have been leasing for 5 years. How long did it take from the time you submitted the request for the trustee to approve it? I'm told by my lawyer that the trustee here is way back-logged and it may take 4-6 weeks to get approval.

[krielly]

In our case it was really quick. A 10 day notice to the creditors was required. An intent to borrow was sent by our attorney to everyone on the creditors matrix, and they had 10 days in which to file an objection. None did. We were approved the next day or so after the deadline.

[kmb]

Texas LadyBug,

How are you refinancing your lease? My lease is up in Feb. 2008and I too would like to refinance it and buy it out, but I'm not having much luck finding any information. I've been with the same finance company for 8 years (VW) and have never had a late payment, so I'm hoping they will work with me, but trying to get my ducks in order in case they won't.

Any info would be appreciated!

[TexasLadybug]

KMB:
A friend of mine knew the owner of a used car business. I called him and met with him in person. Told him my situation and he agreed to purchase the vehicle and re-sell it to me. At a high interest rate of course, but I feel right now I don't have much of a choice. I desperately need a car, and that's just what I have to pay now. Good luck!