Sorry if this is a dead horse...

[red_rider]

Can I purchase a vehicle even though my BK is not discharged? Also, has anyone had a good experience with a lender?

[bkfiler]

can you buy it outright with cash yes.

if you are in a chapt 13 then the trustee needs to know before you get a loan.

if you are in a BK most lenders wont give you a loan as much as they will after your get discharged. you could though, but the longer you wait the better for your overall finances.

[edwards2]

that's exactly true because it happened to us. we needed to buy a vehicle for my son to get to school and work; we tried to get one prior to discharge...didnt work. several months later we tried again and Ford Motor Credit approved us. Not the best interest rate but a workable one. I would wait if you have to finance it. besides you are never 100% sure your BK will go through so it is best not to take any chances until you are officially discharged...this is all if you are in a chapter 7. chapter 13 is a different story...as bkfiler said you have to clear it with your trustee.

[red_rider]

Thanks...

I am in a CH. 7 and the tentative discharge date is expected to be around the end of this month. I have a need for a truck to do some specialty work but it can wait for a couple of months. It is tempting to pursue some of these "amazing", "special" offers I keep getting in the mail. Of course they don't tell you that your rates are going to be extremely high and they seem to not really care that rebuilding credit is an important concern for me. I really like the one where they tell you that you need to start rebuilding as soon as possible and their company is the only one that has access to two lenders who handle special undischarged BK's. Anyway, thanks for the info...

[AMISLANDER]

But, if you purchase a vehicle in a CH.7 before you get discharged and pay it off, isn't the trustee going to wonder where the money came from & seize it as an asset ?

[Minnymouth]

OH YEAH...........
Trustee is going to wonder where the money came from, and yes the vehicle will become an asset if purchased before discharge.............. thus the Trustee will see dollar signs.

Best wait till after discharge...........especially if your paying cash.

Also, if your hiding cash from trustee - best be careful........that can be considered fraud............

[bkfiler]

the bk is concerned with what you had as a snapshot at the time you filed.

you listed all your assets. if you start driving a new colored hummer each day and the trustee finds out about it then you will be asked how that is?

thats reasonable to ask. all you need to do is show him how that is so. if he finds out you hid money then you are in deep steamy poo-poo.

from what i can gather anything you aquire after the snapshot filing date is yours and cant be taken even if someone gave it to you. i would feel safer if i got stuff after the close of the bk or at least the discharge.

its probably because i havent seen too many objection cases where the trustee took something away that was received as a gift after the filing date. but then again thats probably becuase it doesnt happen.

i bought a newer car with the money i exempted in my petition. its worth much more then i paid for it. i got lucky. i am not worried that the trustee will take it at all.

i also sold my other car for twice what it was listed for using the attorney/trustee approved numbers on the petition. i got lucky. im still not worried.

i also applied for credit right after the 341. got two new accounts. not worried.

would it have been best to wait until after the close yes. ok to wait until at least after the discharge. yes. best to wait to do anything after the 341. for sure - so you dont have to bring anything up to the trustee. its not hiding it is just there is no reason to cause extra concern.