Someone Please Advise

[1bigmistake]

Ok so today I have had the worst experience EVER. After filing my cptr7 I have emerged and have been trying my best to be on the straight and narrow with spending. I have applied for a capital one credit card, and paid it off every month, my uncle wrecked my previous car so i had to get another and the company that I had to other car with says if you buy another car from us you WONT have to pay the overage from the previous car, they did as agreed and now I have another car that I want to get out of my interest rate was 23% and im paying triple what the car is worth. Well I go into a dealership today, one of those that say they can help anyone and tell them whats going on, they proceed to look at cars and finally come back with a brand new car that i like. They say the only way I can get into it is to not put the car I have now into the trade, the dealer told me to let the company REPO it and that ill have another brand new car from them so I dont need to worry about it, Im so confused, and scared and depressed and on top of it all the company that I am paying now I have been with for about a year and a half Ive paid them EVERYTIME EARLY or ONTIME, and they dont seem to be reporting the the CB's even though they say they do, so noone even knows that Im doing a good job paying them, Im so depressed and confused I dont know what to do, someone please send me some guidance!

[SinkingFast]

Don't let the one dealership talking convince you to let the other dealership repo the "trade-in" car. Since you recently filed Ch 7, you can't file BK again for a while. You will be responsible for the deficiency balance with no way to discharge the liability.

Sounds like you've been buying cars from a "Buy Here, Die Here" type of lot. Both the interest rate you're paying and the trade in with the "if you buy another car from us you WONT have to pay the overage from the previous car" business. Chances are, if you look closely at the paperwork of the car you currently have financed thru them, they rolled the deficit from the previous purchase back in on this note and you didn't even realize it.

The best thing I can suggest is get a "pay-off" balance on the car. Try and sell it on your own if you can. Get out from under that note first. Then go buy another car. If the car won't bring what you owe, then live with it for a while longer until you can at least break even.

Arrange your financing on your own. In advance of shopping. Try CapOne Blank Check. Apply at LendingTree.com and see what kind of offers you get there. Also, maybe try RoadLoans.com for a car loan. You should be able to do better than 23% interest rate.

[1bigmistake]

i pay everything ontime now that I have come out of BK, and i just applied for a blank check and roadloans who both just denied me! Why!? I am doing everything right this time, and it seems like nothing is happening.....

[CindyLou]

One VERY VERY important question, did you buy the current car BEFORE you filed bk? If you did and you did not reaffirm, then yes, you can turn the keys over and done with it!!!!! If fact in this situation it would be the smart thing to do if you got if before bk and did not reaffirm!!

[1bigmistake]

No I got it after my BK, Im just confused I hear people on here getting instant credit after BK I have been waiting and waiting and when I try to get something im still held back...

[CindyLou]

then its not about whether they are reporting or not, its about whether you would be responsible for the the amount if you give it up. You will have to do everything you can to keep this car. You are probably very upside down, but just do the best you can to pay. Even if you get a blank check or similar approval you will not be able to trade that one in due to negative equity. Question: What does your credit report reflect as far as car ownership history and what is your debt to income ratio?

[poorme]

Regarding the upside-down deal - as CLS suggested you really need to know just how much that is in order to plan a strategy to get out of it. If it's a few thou - is a part time job feasible to sock away the deficiency and then trade with a down payment? Any family that could help you out?

But first, take a deep breath and congratulate yourself on what you've accomplished since the bk. It is fabulous that you've disciplined yourself to pay everything on time or even EARLY!

Next time you head towards a car lot - don't go there to look for cars. Do some shopping around or even call and speak to the finance manager. It's probably better to think of looking at financing first, then settle into the amount of car you can afford. Explain your situation and how you need to get out of the deal and still be right-side up - someone will help you eventually. You may have to trade down to a smaller, older used car for awhile unless you can come up with a way to cover the crap on your current loan.

[1bigmistake]

Thanks for the congrats, Im just a bit discouraged, I have disciplined myself and I do now see the value of having good credit, and Im attempting to get there, no thing I did see on my report were ALOT of inquiries from a few years til the past few weeks, my pay off is 18,900, and the car is worth 10k-11k. So that means Im about 8k neg. Im just so tired of being told no everywhere I go, I cant even get financing through the people that everyone says are good for BK, I pay EVERYTHING ontime or early I just dont get it, some on the forum say they got financing immediately after BK, its been 5mos of good payment for me and I still cant get right with this, Im trying not to be depressed about it, I just am getting tired of EVERY dealership promising that they can get me out when I walk in just to be let down because they have to take it back!!! I guesI have no choice but to stick with this car and pray that nothing happens!!!!

[Walnut]

First off - roadloans will not approve you if you alrwady have a car loan elsewhere - so that is that. As to Cap One - you need to go to a high volume dealer and try there - BUT - you are still going to be stuck with the upside downer. You have to reduce the negative equity somehow. Did you take out GAP insurance? If so, you could always hope someone steals it. Or find a hail storm.

Seriously, this is a pickle. 5mos may not be enough. Do you have any other accounts? What is your debt to income ratio? Again, with Cap One, it is a crapshoot - some get approved some don't with no reasons why.

[CindyLou]

Again I will ask the question about debt to income ratio? What is your income monthly and what are you debts (rent, car note, credit cards, loans) monthy? This may be your problem if you have high debts compared to your income.

[SinkingFast]

my pay off is 18,900, and the car is worth 10k-11k. So that means Im about 8k neg.

That may be why you're hearing "No".

With RoadLoans and CapOne, and possibly the others, only allow you to finance 120%-130% NADA book value on a car. That's the price of the car being purchased, taxes, title, and license fees. They do allow limited amounts for accessories, extended warranty, and GAP insurance.

Being $8K upside down on the other vehicle, there's no way you can trade and get another car. No Dealership can roll that excess back in on the new car with the Lender basing the amount they'll loan on a "Book" value.

Sounds like you're just gonna have to ride this one out until you're break even or you can sell the car on your own for what you owe.