Totalled car update!

[bksmith12345]

Well were to receive $5300 back from our insurance company after deductible and bank payoff. But...

The equity in the car at time of filing was used as an exemption. So we only get to keep $1400. The rest goes into our attorneys trust fund.

He says he will petition the court to keep it all to buy another car. He says they will say no and the money will go to the trustee.

He told us to try and obtain financing using the $1400 as down payment. If we get approved at a resonable rate and terms he will ask the trustee for an approval letter to obtain post filing financing.

If we get declined every where or the interest rate is way high he will petition again for us to keep all $5300.

Who is going to finance us? I've been in the car business for 16 years and I know how hard it is to get approved for a car loan with choppy credit much less in a chapter 13.

Anyone been though this or have any advice?

Thanks all.

[rrockinggramma]

your best bet might be to try the 722 redemption which goes through the attorney and the trustee. Interest is high of course but that would be the case no matter who finances you now. The other option is to try and find a reliable beater for 1400.

[bksmith12345]

your best bet might be to try the 722 redemption which goes through the attorney and the trustee. Interest is high of course but that would be the case no matter who finances you now. The other option is to try and find a reliable beater for 1400.

Can we do a 722 while in a 13?

I went the 722 website and they only talk about chapter 7's

[optimistic1]

I have some great links for you,

http://www.drivetime.com/

http://www.722redemption.com/debtor_wrp_ch13.aspx

http://www.roadloans.com/

http://www.autocreditexpress.net/resources/lenders/

http://www.drivefinancial.com/

https://www.autocreditfinders.com/default.aspx

To me, the second link is the most compelling, the first I have personally spoke with their corporate office for their stance on Chapter 13's, they were very familiar with the court process.

[bksmith12345]

Wow! Thanks.

Have you used any of these outfits?

They look like the way to go. I don't see any conventional lenders touching us with a 10 foot pole.

[rrockinggramma]

I have used 722 redemption. It is through US Bank and does report on your credit report. You have to buy a fairly new car with less than 25,000 miles and it has to be priced at FMV. They don't allow the dealer to pad it at all. Now our interest was high of course but they were fair and understanding and the application was done by fax to them with attorney and trustee approval not a long process.

I have also used Drive Financial and wouldn't use them ever again.

[bksmith12345]

I have used 722 redemption. It is through US Bank and does report on your credit report. You have to buy a fairly new car with less than 25,000 miles and it has to be priced at FMV. They don't allow the dealer to pad it at all. Now our interest was high of course but they were fair and understanding and the application was done by fax to them with attorney and trustee approval not a long process.

I have also used Drive Financial and wouldn't use them ever again.

Were you in a 13?

Our payment was $265. What kind of low mileage late model car can we get for $265 a month considering the interest rate will be high.

Like I said been in the auto business a long time. What dealer will want to sell a car at minimal profit? Especially a car like I'm looking for?

The dealership I work at would have no interest in doing so with a used car. A new car sure we drop our drawers on those.

[optimistic1]

You could pick from several on drivetime.com's lot, they most likely have several small compact cars.

To answer your question, no, I have not used any of them, but if I had to, it would be the first two links.

[bksmith12345]

You could pick from several on drivetime.com's lot, they most likely have several small compact cars.

To answer your question, no, I have not used any of them, but if I had to, it would be the first two links.

Thanks Opt1.

I'm in New Jersey. Drivetime's closest location is in Virginia.

The 722 site has an online application that says they can't do 13's unless we convert to a 7.

Oh man. What now?

Thanks for your input.

[optimistic1]

Thanks Opt1.

I'm in New Jersey. Drivetime's closest location is in Virginia.

The 722 site has an online application that says they can't do 13's unless we convert to a 7.

Oh man. What now?

Thanks for your input.

Well that sucks,

Try confirming that they dont by calling them at (888) 278-6121

As for Drivetime, call them at the Virginia location and see if they can guarantee they can get you a car, then take a bus to trek the 368 miles, and drive back in your new car. If I had to it, I would, a car is a freakin lifeline.

[bksmith12345]

I called 722 they do not do 13's.

I will call drivemaster.

Shouldn't my attorney know what to do?

His paralegal is telling us to go from bank to bank to see if we can get approved. There is no way that will happen.

Also, they do not even know what car would be buying or how much we need to borrow.

This dosn't sound like good advice.

What do you think?

[optimistic1]

Tell them to fix their website, morons, I hate that. Well that was my light at the end of the tunnel, so I am just as crushed as you are.

Drivemaster?

I would call Drivetime, even though they are 368 miles away from you.

You can also try the BUY HERE PAY HERE LOTS, they basically are renting you the car, but nonetheless you get one, just tell them how much you can afford to pay.

Beware of these types of lots, try to look them up on the BBB or the local state websites to check their reliability.

[rrockinggramma]

I think you will have to probably do the buy here pay here. I did that and was not happy with the experience. They are true loan sharks. I ended up paying 3 times what the car was worth but had no choice. And they put a box in the car that if I didn't make the payment on that day, they shut the car off.

Your best bet for now is to take your 1400 and whatever else you can scrape together and start searching for a decent driveable car that you can pay cash for.

[bksmith12345]

I think you will have to probably do the buy here pay here. I did that and was not happy with the experience. They are true loan sharks. I ended up paying 3 times what the car was worth but had no choice. And they put a box in the car that if I didn't make the payment on that day, they shut the car off.

Your best bet for now is to take your 1400 and whatever else you can scrape together and start searching for a decent driveable car that you can pay cash for.

I gather we still need a letter to incur debt from the trustee?

Did you?

[rrockinggramma]

I did not for a cash purchase because I was not incurring new debt. As to the buy here pay here, no I didn't have permission for that either because it was considered "cash" and not financed. I would really stay away from the buy here pay here. You probably could get just as high a quality of car with your 1400.00 (scouts honor)