whatalife

New Wheels after Bankruptcy

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I had to file for bankruptcy. Almost 3 years ago I leased a Jeep. This September that lease will be up, My problem is: where do I turn for another vehicle? Anyone have any ideas or maybe has been thru this before. I don't know if they even give people who are in a bankruptcy situation car loans or not?? Any help or ideas would be appreciated.

Thanks!

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As long as you have a job, and two or three pay stubs to show...you'll be getting offers up the wazoo for people who want to sell you a new car.

Have you already filed? Discharged?

We were getting two / three letters in the mail a week from dealers around town that had already "pre-approved" us for as much as $35k.

They know that you can't BK again for 7 years, so they're not worry about getting their money back...they will, however, charge you higher interest, and will be quite willing to put you upside down on the car price right from the start...so be very selective about what offer you grab.

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I can't promise but, I have heard excellent comments about FORD MOTOR CREDIT helping people right out of BK 7. I got my explorer through Ford Credit. FYI...be very careful who the financing is done through. Some people may not be thrilled at the idea of driving a Ford(doesn't bother me as long as it runs) but I'd rather have a Ford and be financed through Ford Motor...than some scum sucker like AmeriCredit, and a few others out there. The customer service is horrid with that company :twisted: I know some people have no choice...but it you can help it...stay far away from companies like the one I mentioned.

GL you can get financed right out of BK

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whatalife- You probably can get financing. Either through offers you'll receive in the mail or a credit union. But I went through your exact situation last year- let me just give you a head up...

Last year after filing, even pre-discharge, I was in the same situation as you needing reliable transportation. I received offer after offer for vehicle financing. Even though I was completely broke on paper, apparently I was pre-approved for 35K of vehicle. Most of it, however, was limited to late model financing so my choices were limited to a new or almost new car or truck financed at high interest with some massive payments, some for 6 year terms. The smartest thing I have done so far after filing was to steer clear of it all. In my opinion, making large monthly payments on a depreciating asset (car/truck loan is #1 on that list) was what contributed to my filing bk7 in the first place. I ended up buying a used Honda that runs great for $3800 cash to get me to work and back. With simple lifestyle changes such as my choice of a modest but reliable vehicle, combined with some tight but reasonable budgeting, I've been able to squirrel away over $13K in less than 6 months since discharge. Half of that I can attribute directly to my choice of vehicle. Now, if I wanted to, I could go out and put down a sizable payment on a vehicle- but instead I used almost all of it to match my fiance's down payment to purchase our first home on Friday (we used her credit, its obviously better). This happened less than 6 months after I couldn't seem to pay my basic bills. xbeer2)

Please don't construe this as anything but friendly advice. I know everyone's situation is different, but before signing away your next 5-6 years with car payments, its just worth a second thought! :D

jq

04/25/2005 FAKOs: 670/641/621

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This is an interesting thread, I too have been thinking about getting another vehicle after we just filed BK. I'm actually trying to get into a less expensive older vehicle, the problem is we are about 2k upside down in our 2000 Maxima.

Are their any sites on the web that will finance for a private party vehicle or allow you to trade your vehicle in and get financing if it's not from a "major franchise"?

I'm trying to lower my payment and get out of an expensive car, but it's tough.

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Todd1225: Just a thought, but if you didn't reaffirm or redeem the Mazda, it was IIB and you're not liable for it. You could tell whoever's holding the lein to come get it, and go buy something else. (You obviously want to make sure you've got something else lined up before you give up the Mazda if that's your only car...)

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I had to file for bankruptcy. Almost 3 years ago I leased a Jeep.
I know that dealers rely upon "returning lessee" business and so this may work in your favor. Are you a longstanding customer of this dealership? That may stand you in good stead. Talk with them now, before the lease is up, to discuss your options. My bet is that they'll be willing to work with you.

You may also want to post this in the "Credit Cards, Auto Loans and Financing" forum.

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this is from the patelco website www.patelco.com

New and Used Auto Loan

100% financing

Terms up to seven years for new and used cars (1996 or newer)

Terms up to five years for older cars (1992-1995)

Buy from a dealer, private party, or even buy out a lease

Refinance a loan from another financial institution and save money. You may even be able to get cash back on the equity.

Loan protection programs available

Patelco also provides an Extra Value Auto Loan, allowing you to obtain financing even if you have negative equity in your vehicle.

Up to 150% loan-to-value Available for new and used vehicles (2000 or newer)

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