Am I allowed to buy a car before I file

[dolphindan1]

My truck is a 2001 with close to 200,000 miles on it, owe 1000 to a title loan...Can I upgrade it before I file or would that be a no-no...My Cousin filed and her attorney told them to go buy 2 vehicles before they field...no issues I was shocked this could happen...Also my 16 year old will need a vehicle soon can I get him a less the 5000 dollar vehicle or should I wait on that till after...just trying to decide if 13 is the best option...I have no credit Card debt but I am about a year behind with Wells Fargo and cannot get a loan modification done for some reason...also have a small 2nd mortgage of 14000 that is charged off...about a 2000 dollars in Dr bills.....My home is 120,000 and we owe 94000, 650 and month payment....My wifes car is a 06 Altima we owe about 11000 on it and its upside as the tax value was about 6000

My biggest concern...My son was asked to play on a college showcase team travelling to a few states to play in from of college coaches and coached by a former MLB pitcher for the Yankees and Pirates....its a huge opportunity for him but will be pricey...they will be doing fundraising...I dont want him to miss out on this opportunity...will this be something I will be able to do if I file..

Also my floor has been ripped up and being replaced due to water damage the Insurance company gave me a check made out to me and the mortgage company...I could cash it and the Mortgage company wouldnt endores because I was behind on my payments...How will I complete this work?

If it helps I am in SC

[ValleYum]

Hi dolphindan!

Welcome to the forum - you will find lots of help here! This place slows down a bit over the weekend - so don't worry if you don't get lots of responses right away. Start reading in the Chapter 13 forum - the more you read here the more you learn. It is definitely a process.

I didn't do a Chapter 13, so I won't try to answer your questions wrong! Hopefully you will get some good advice here BUT it sounds like it is time for you to schedule 2 or 3 or even more consultations with BK attorneys who do LOTS of Chapter 13s (ASK them what percentage of their practice is BK THEN ask the % of Chapter 13s filed). Write down your questions and concerns and let the folks who know what goes on in your local area tell you how this should work for you. Maybe one can even help with advice about the flooring issue and the insurance check.

Congrats on your son making the traveling team. My son made one when he was 10 and that was pricey back in the day - even with the fundraising BUT it sounds like a super opportunity for him.

Again, welcome.

[dolphindan1]

Hi dolphindan!

Welcome to the forum - you will find lots of help here! This place slows down a bit over the weekend - so don't worry if you don't get lots of responses right away. Start reading in the Chapter 13 forum - the more you read here the more you learn. It is definitely a process.

I didn't do a Chapter 13, so I won't try to answer your questions wrong! Hopefully you will get some good advice here BUT it sounds like it is time for you to schedule 2 or 3 or even more consultations with BK attorneys who do LOTS of Chapter 13s (ASK them what percentage of their practice is BK THEN ask the % of Chapter 13s filed). Write down your questions and concerns and let the folks who know what goes on in your local area tell you how this should work for you. Maybe one can even help with advice about the flooring issue and the insurance check.

Congrats on your son making the traveling team. My son made one when he was 10 and that was pricey back in the day - even with the fundraising BUT it sounds like a super opportunity for him.

Again, welcome.

Thanks again...I have been reading alot....the terminology is killing me though...LOL

My son has been playing USSSA travel since he was 11....this new team is a Showcase World League/Perfect Game team....all college prospects playing in front of college coaches at colleges in the SouthEast....big opportunity and he was the younges kid at 15 to be asked with 17 year olds....nervous and excited all at the same time....Just dont wanna blow that chance for him....

thanks for the response

[LadyInTheRed]

Welcome to BKforum, Dophindan1!

It is very common to buy a car before filing a Chap 13 so that you have a reliable car to get you through your plan. I financed a car a month before I filed. But, you need to be sure that the car payment is not going to make it more difficult for you to propose a feasible plan. Your plan will already have to pay off all of your mortgage arrears while you make current mortgage payments. So, take your total arrears (including penalties and interest up to the date of filing) and divide by 60 months. Could you afford that payment? Your actual minimum plan payment would be even higher because you have to add any attorney fees that are included in the plan and trustee fees. If you have any non exempt assets, your payment will be higher.

What caused you to fall behind on your mortgage? Has the cause been resolved? BK won't help you if you still can't afford your mortgage.

Whether you are going to be able to pay for your son's travel expenses during a Chap 13 will depend on what your disposable income is. If you can make a plan payment that will pay the mortgage arrears, car loan if you buy a new car, attorney and trustee fees, plus pay 100% of the medical bill (assuming that is your only unsecured debt), you are more likely to be able to pay for your son's expenses while in Chap 13. An attorney who is familiar with the trustees in your district is the best person to answer this question. In the meantime, it would be a good idea for your son to do his own personal fund raising just in case. How about a summer job?

You should sit down with a couple of attorneys who can go over your numbers and discuss your options and what a Chap 13 will look like for you.

If there are things you don't understand as you read this forum, like terminology for example, don't be afraid to ask. There is a lot of information to absorb and it can get overwhelming.

[dolphindan1]

Welcome to BKforum, Dophindan1!

It is very common to buy a car before filing a Chap 13 so that you have a reliable car to get you through your plan. I financed a car a month before I filed. But, you need to be sure that the car payment is not going to make it more difficult for you to propose a feasible plan. Your plan will already have to pay off all of your mortgage arrears while you make current mortgage payments. So, take your total arrears (including penalties and interest up to the date of filing) and divide by 60 months. Could you afford that payment? Your actual minimum plan payment would be even higher because you have to add any attorney fees that are included in the plan and trustee fees. If you have any non exempt assets, your payment will be higher.

What caused you to fall behind on your mortgage? Has the cause been resolved? BK won't help you if you still can't afford your mortgage.

Whether you are going to be able to pay for your son's travel expenses during a Chap 13 will depend on what your disposable income is. If you can make a plan payment that will pay the mortgage arrears, car loan if you buy a new car, attorney and trustee fees, plus pay 100% of the medical bill (assuming that is your only unsecured debt), you are more likely to be able to pay for your son's expenses while in Chap 13. An attorney who is familiar with the trustees in your district is the best person to answer this question. In the meantime, it would be a good idea for your son to do his own personal fund raising just in case. How about a summer job?

You should sit down with a couple of attorneys who can go over your numbers and discuss your options and what a Chap 13 will look like for you.

If there are things you don't understand as you read this forum, like terminology for example, don't be afraid to ask. There is a lot of information to absorb and it can get overwhelming.

Thanks for your response....Like I said I have no credit cards...I just have a first and 2nd mortgage...13 months past due on a 642 monthly payment...2 car payments, 1 is title loan with about 1000 left and the other we owe 11k but its worth 6000...and some Dr bills about 1500 worth....I have some student loans but I understand they cant be added to BK13....

we fell behind on our house payment when my Father in law went on disability and we supported his house payment and bills and ours till his disability kicked in...I got 4 months behind and kept doing what Wells fargo told me to do and it kept getting kicked out on loan modification....now its a year later and every call is please send updated paystubs and financial worksheet...kinda frustrating...

I really wanna know approx what my payment would be before I file...is there a way to determine that...or is it set by the lawyer....its there a way to get some idea what it will be